Performance and targets to be presented to first AGM post-equitization.
The Civil Engineering Construction Corporation No. 4 Joint Stock Company (Cienco 4) has released its business results and plans to be presented to its annual general meeting (AGM) on March 29. This is the first AGM after the company was equitized in mid-2014, when the Ministry of Transport divested its 35 per cent holding in Cienco 4 in a sale to the Tuan Loc Construction Investment Corporation, when then become its biggest shareholder, with 51.5 per cent. Other major shareholders include the Saigon-Hanoi Commercial Joint Stock Bank (SHB) and Ms. Nguyen Thi Binh.
In 2014 Cienco 4 earned revenue of VND6.76 trillion ($315 million) and VND112 billion ($5.22 million) in profit before tax. The plan for 2015 includes VND7.5 trillion ($349.57 million) in targeted revenue, an increase of 11 per cent, and VND155 billion ($7.22 million) in profit before tax, an increase of 38 per cent, while average staff incomes are expected to be VND11.5 million ($536.01) per month and dividend payouts are to a minimum of 25 per cent of profit after tax.
Winning bids and contracts in 2014 totaled VND11.721 trillion ($546.31 million). In first quarter of this year Cienco 4 won VND2.4 trillion ($111.86 million) in bids and will strive to win VND8 trillion ($372.88 million) in bids over the remainder of 2015.
The company continues to invest in build-operate-transfer (BOT) projects with a total value of VND1.7 trillion ($79.23 million) and will increase its capital to VND1 trillion ($46.61 million) to adapt to the requirements of BOT projects in 2015.
The capital raising will be divided into two periods. The first is planned to be held in the second quarter of 2015 to secure VND720 billion ($33.55 million), and the second, for which no time-frame has been set, will target VND1 trillion ($46.61 million) in capital.