After Qatar Petroleum withdrew its interest, Siam Cement Group (SCG) is scouting for a new partner to invest in the petrochemical complex in Vietnam.
“The construction bidding has been completed. But the financial close and the investment have to be delayed until we can find a new partner,” SCG’s president and CEO Kan Trakulhoon told the media.
The company is looking at retaining majority shareholding post investment.
Last month, QPI Vietnam, a subsidiary of Qatar Petroleum International, announced to divest its 25-per-cent stake in the petrochemical complex, dubbed as Long Son Petrochemicals, in the Southern part of Vietnam. SCG shares 46 per cent in the project, while PetroVietnam and Vinachem holds 29 per cent in combination.
Earlier, SCG expected to finalise the financial plan and other details of this project by the first quarter of next year. Total investment may exceed its initial assumption of $4.5 billion, he cited.
Meanwhile, Vietnam News Brief Service reported last week that SCG was seeking to expand the production capacity of cement and building materials in Vietnam where the demand grew by 40 per cent a year.
Dhep Vonvanich, executive director for SCG in Vietnam, said, the group gave heavy weightage to the investment in Vietnam especially the chemical, packaging, cement and building material sectors.
Hence, he expected the Vietnamese government and the Ministry of Construction would grant incentives to attract foreign investors in Vietnam.
SCG has 22 subsidiaries and affiliates in Vietnam, mainly set up through mergers and acquisitions.
“The construction bidding has been completed. But the financial close and the investment have to be delayed until we can find a new partner,” SCG’s president and CEO Kan Trakulhoon told the media.
The company is looking at retaining majority shareholding post investment.
Last month, QPI Vietnam, a subsidiary of Qatar Petroleum International, announced to divest its 25-per-cent stake in the petrochemical complex, dubbed as Long Son Petrochemicals, in the Southern part of Vietnam. SCG shares 46 per cent in the project, while PetroVietnam and Vinachem holds 29 per cent in combination.
Earlier, SCG expected to finalise the financial plan and other details of this project by the first quarter of next year. Total investment may exceed its initial assumption of $4.5 billion, he cited.
Meanwhile, Vietnam News Brief Service reported last week that SCG was seeking to expand the production capacity of cement and building materials in Vietnam where the demand grew by 40 per cent a year.
Dhep Vonvanich, executive director for SCG in Vietnam, said, the group gave heavy weightage to the investment in Vietnam especially the chemical, packaging, cement and building material sectors.
Hence, he expected the Vietnamese government and the Ministry of Construction would grant incentives to attract foreign investors in Vietnam.
SCG has 22 subsidiaries and affiliates in Vietnam, mainly set up through mergers and acquisitions.
Souce: http://www.dealstreetasia.com/
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