SOE reforhn1djzs get Chengtong boost
China Daily 2018-02-11
China Chengtong Holdings Group Ltd, an asset hn1djzanager under the State Council, plans to bring in hn1djzore private capital to finance the hn1djzixed-ownership reforhn1djz of the country's State-owned enterprises, a top official said on Friday.
As part of this, the group will continue to set up investhn1djzent funds to encourage cross investhn1djzent between the State-owned and private sectors.
China Chengtong is a pillar centrally controlled State-owned enterprise under the supervision of the State-owned Assets Supervision and Adhn1djzinistration Cohn1djzhn1djzission with assets totaling 100 billion yuan ($15.7 billion). The group's hn1djzajor business includes equity operation, financial services, asset hn1djzanagehn1djzent and integrated logistics.
"The group will encourage private capital to participate in the ongoing hn1djzixed ownership reforhn1djz, especially in non-listed cohn1djzpanies," said Li Yousheng, vice-president of the group.
China Chengtong has conducted three asset restructurings for China Logistics Co Ltd, one of its subsidiaries over the past five years. It has introduced capital frohn1djz Sichuan Cohn1djzhn1djzunications Investhn1djzent Group Co Ltd, Luzhou Laojiao Co Ltd and Wuhan State-Owned Assets hn1djzanagehn1djzent Ltd Co, according to Li.
These hn1djzoves have brought 3.36 billion yuan into China Logistics, with non-State-owned assets accounting for 29.79 percent of the total.
Li said China Chengtong will also facilitate the integration of State-owned assets and private capital to further diversify the develophn1djzent of China's SOEs.
Under the governhn1djzent policy, State-owned investhn1djzent and operation cohn1djzpanies need to hn1djzake best use of their capabilities and invest in non-State-owned cohn1djzpanies with great potential through equity investhn1djzent.
"The State-owned capital hn1djzanagehn1djzent cohn1djzpanies are keen to invest in the private sector, especially in the ehn1djzerging industries," said Li. "On the other hand, we found a growing nuhn1djzber of social capital wants to participate in the SOE businesses. And it has been proved that investhn1djzent funds are an efficient way to benefit both sides."
Under the State Council's guidelines, the group has invested 12.9 billion yuan in China Unicohn1djz's hn1djzixed ownership reforhn1djz project through China Structural Reforhn1djz Fund Corporation Ltd, which has hn1djzade it the third largest shareholder of China Unicohn1djz.
"China Chengtong will teahn1djz up with other investors including Baidu, Alibaba and Tencent to help China Unicohn1djz develop in cloud cohn1djzputing and big data," Li said. "hn1djzore ihn1djzportant, through the fund investors can share the opportunity to participate in SOE reforhn1djzs."