Hai Phong Port Ready for New Chapter

Hai Phong Port was built by the French in 1874. After more than a century of development, Hai Phong Port is the largest port in northern Vietnam by wharf, loading capacity, cargo throughput, ship reception, and equipment systems.

 

In 2013, despite facing enormous difficulties arising from the world economic slowdown, with the direction of Vietnam National Shipping Lines (Vinalines) and the solidarity and effort of employees, Hai Phong Port carried out many consistent solutions, renovated personnel organisation, and maintained port security. The company particularly mobilised and encouraged employees to overcome difficulties, proactively sought cargo sources, promoted production innovations and used modern technologies. Regarding administration, the port authority advocated reducing administrative procedures, changing working styles and improving services quality. The company flexibly adjusted and applied rates; effectively organised stevedoring, warehousing services and vehicles; closely collaborated with relevant authorities to quickly resolve issues facing customers. To create new competitive forces and improve service quality, the port focused on accelerating official operation of investment projects valued at VND237.160 billion.

 

Thanks to the solidarity and endeavour of all employees and the wise leadership of the Port Management, the total cargo throughput reached nearly 19 million tonnes; revenue grossed VND1,565 billion, up 3.36 percent over 2012; and profit before tax was VND252 billion, doubling the value in 2012.

 

The equitisation of Hai Phong Port was bound to the Government’s State-owned enterprise (SOE) equitisation policy and Decision 103/QD-HHVN of Vinalines dated March 15, 2013. The process aims to mobilise public capital to boost financial capacity, fund technological innovation, renovate corporate governance, improve management efficiency, and sustain future growth.

 

According to the business valuation report adopted by the Board of Members of Vinalines, the value of the State capital at Hai Phong Port is VND3,300 billion (US$160 million).

 

Based on this share capital, 245.22 million shares (equivalent to 75 percent of stake) will be kept by the State; 5,768,800 preference shares (1.76 percent of stake) will be awarded to employees; 4,074,300 preference shares (1.25 percent of stake) will be distributed to loyal employees; 700,000 shares (0.21 percent of stake) will be sold to the Trade Union; 33,561,300 shares (10.26 percent of stake) will be sold to strategic partner Vietinbank; and 37.635,600 shares (11.51 percent of stake) will be put for public auction. The par value of a share is VND10,000 but the offering price will start from VND13,500 per share.

 

The equitisation of Hai Phong Port interests not only employees but also the government and people of Hai Phong City. July 1 marked the first day of Hai Phong Port operating as a joint stock company.