Vietnam’s Minister of Information and Communications Nguyen Bac Son has reportedly asked state-owned Vietnam Posts and Telecommunications Group (VNPT) to submit its final restructuring plan by the end of March at the latest.
The plan is aimed at…
Vietnam’s Minister of Information and Communications Nguyen Bac Son has reportedly asked state-owned Vietnam Posts and Telecommunications Group (VNPT) to submit its final restructuring plan by the end of March at the latest.
The plan is aimed at developing the company’s core businesses, speeding up the privatisation of some of its affiliates, and divesting non-core assets, according to Viet Nam News.
In June, the company had already submitted a first plan to the government for its mobile phone units, VinaPhone and MobiFone.
Under a decree effective from 1 June, a company that owns 20 per cent or more of a telecom operator is not be allowed to hold more than 20 per cent of another operator in the same market.
VNPT therefore proposed, at the time, selling shares in one of the two cellcos, merging the two units or selling shares in the combined group.
With VNPT potentially merging its assets, and rival Viettel currently acquiring struggling EVN Telecom, the country is seeing the first steps of a much awaited consolidation wave.
VNPT and the Ministry of Information and Communications could not be reached for comment before the press deadline.
