Vietnam Cement Corporation will reorganise under the parent-subsidiary model pursuant to a recent decision issued by Deputy Prime Minister Nguyen Sinh Hung.
Decision No 196/2006/QD-TTg dated August 29 would provide that the parent company remain a State-owned enterprise managing production and business operations and responsible for maintaining State capital in the parent and subsidiary companies.
Ten subsidiary companies will be equitised between 2006-10, with controlling interests maintained by the parent company. These subsidiaries will include Ha Tien Cement Co, Da Nang Cement Co, Building Materials and Installation Co, Cement Production Materials Co, Hai Van Cement Co, Ha Tien Cement Co No 2, Cement Import-Export Co, Cement Consultantcy, Investment and Development Co, Hoang Mai Cement Co, Tam Diep Cement Co and Hai Phong Cement Co.
Hung’s decision assigned the Minister of Construction to supervise the reorganisation.
The Vietnam Cement Corporation management board was also asked to submit a plan to establish the Vietnam Cement Finance Co for Government consideration and approval.