The Vietnamese government has decided against privatising the country’s incumbent Viettel, according to local news website VietnamNet.
Several other companies in various sectors will also remain state-owned.
This report comes a few days after local…
The Vietnamese government has decided against privatising the country’s incumbent Viettel, according to local news website VietnamNet.
Several other companies in various sectors will also remain state-owned.
This report comes a few days after local authorities ruled that Mobifone, owned by Vietnam Posts and Telecommunications Group (VNPT), should be taken private.
VNPT had wanted to reorganise its operations and bring its mobile units Mobifone and Vinaphone – two of Vietnam’s three largest players – together.
But in mid-April this year, communications minister Nguyen Bac Son rejected the plan, saying Vietnam must have at least three large telcos, namely Viettel, Mobifone and Vinaphone. Together the three operators control around 90% of the market.
Under the privatisation plan, VNPT will hold on to Vinaphone and float Mobifone. It cannot hold more than 20% of Mobifone’s share capital as per local laws designed to mitigate competition concerns.
