SCIC and HoSE to sign a Memorandum of Understanding

SCIC and HoSE to sign a Memorandum of Understanding

Hanoi, April 7, 2014 – State Capital Investment Corporation (SCIC) and Ho Chi Minh city Stock Exchange (HoSE) sign a Memorandum of Understanding. Mr. Lai Van Dao, CEO of SCIC and Madam Phan Thi Tuong Tam, CEO of HoSE, on behalf of the two entities, sign this MOU under the witness of leaders from State Securities Commission and departments from Ministry of Finance.

So far, SCIC and HoSE have undertaken a number of fruitful cooperation activities such as the auction of SCIC’s shares in linked companies that are listed on HoSE, co-hosting of workshops, forums for experience sharing, updating of new regulations in stock market, corporate governance for SCIC’s representatives at linked companies. Among SCIC’s portfolio companies, 23 companies are listed on HoSE with the total chartered capital of 20,330 billion dongs.

Given such efficient cooperation, the Management of two entities agree to sign an MOU with an aim to enhancing the relationship between both sides.

This MOU will lay a firm foundation for mutual cooperation and information exchange and accelerate the restructuring program in order to improve SCIC-linked companies’ performance, competitiveness, boost them to list on the stock exchange to improve the transparency in their operation as well as protect the investors’ interest.

At the MOU signing ceremony, Mr. Tran Dac Sinh, Chairman of HoSe said “By this MOU, SCIC and HoSE will cooperate in share auction for SCIC linked companies in the stock exchange and boots them to list in HoSE. At the same time, SCIC and HoSE will consider and put forward mutual proposals and recommendations to improve regulations in such fields as share auction, listing and securities transactions.”

Mr. Lai Van Dao also shared “In implementing the SOE restructuring program, SCIC will closely cooperate with HoSE to accelerate the divestment in non-key industries/sectors where it is unnecessary for the State to hold stake. Given this MOU, I believe that the divestment in the coming time will be improved to better serve the state capital restructuring and to focus on investment in key industries/sectors of the economy.”

Mr. Vu Bang, Chairman of State Securities Commission, highly appreciates the efficient cooperation between SCIC and HoSE so far and express his strong belief in both sides’ efforts and determination through this MOU and suggest both sides to uphold the relationship in order to accelerate the SOE restructuring, improve the corporate governance and further develop the stock exchange of Vietnam.