Government plans to sell 36% remaining holding stake in Sabeco

The Saigon Beer Alcohol Beverage Corporation is among 139 enterprises in the latest list in which the State stakes will be sold by the State Capital Investment Corporation.

The brewer is also among 14 companies the government asked to have State stake transferred to to SCIC before end of August from the Ministry of Industry and Trade, Ministry of Labour – War Invalid and Social Affairs, Ministry of Construction and others.

In 2017, Ministry of Industry and Trade, representative for the State stake in Sabeco, sold 53.59 percent stake in the company to ThaiBev for over $5 billion. The deal attracted great attention from the market.

Due to the double whammy from COVID-19 pandemic and drunk-driving law which has taken into effect, Sabeco lowered its revenue target for 2020 by 37 percent to VND23.8 trillion ($1 billion) and after-tax target by 39 percent to VND3.2 trillion ($138 million), a six-year low.

The divestment process of State-owned enterprises has not been in good progress in recent years. In the latest announcement, the government wants the 139 companies to have stake divested entirely or partly.

Hanoi is the locality with the most enterprises that need to divest with 28 enterprises, including some prominent names such as Thuong Dinh Shoes, May 19 Textile, Hanel, and Thuy Khue Shoes, Tran Phu Electrical Mechanical ...

The government wants Song Hong Corporation, Hanoi Construction JSC, Construction JSC No. 1, and the Vietnam Urban and Industrial Zone Development Investment Corporation (IDICO) to complete divestment before November 30. After the date, State stakes in the companies must be transferred to SCIC by December 31.

The Prime Minister's decision also approved 18 State-owned enterprises to proceed divestment under specific plans including Petrolimex, Vietnam Airlines, Viglacera, VEAM, Thang Loi Tourist Hotel JSC.

- List of company the government plans to sell stake

► Vietnam brewer Sabeco sees first signs of post-pandemic recovery

► Thai Beverage says it has no intention to sell Sabeco stakes in Vietnam

► Vietnam ministry rejects rumor of repurchasing Sabeco shares from ThaiBev