<article>Energy major <a style="color: #000080;" href="http://english.pvn.vn/">Vietnam National Oil and Gas Group</a> (PetroVietnam) is planning to divest from non-core business portfolio, mainly banks.</article>

Energy major <a style="color: #000080;" href="http://english.pvn.vn/">Vietnam National Oil and Gas Group</a> (PetroVietnam) is planning to divest from non-core business portfolio, mainly banks.
The value of the group&#8217;s non-core investment is estimated to be in trillions of Vietnamese dong, and mainly includes its investments in the <a href="http://www.pvcombank.com.vn/">PVCombank</a> and the <a href="http://oceanbank.vn/">OceanBank</a>.
The divestment process is expected to be completed by the end of 2015, according to a Ministry of Industry and Trade report. The group&#8217;s VND4.68 trillion ($215.6 million) investment in PVCombank, is already in the process of being transferred to the State Bank of Vietnam, it added.
Meanwhile, the energy giant has lost its VND800 billion in OceanBank, which was taken over by the central bank through a complimentary acquisition.
PetroVietnam is also rushing to divest from the <a style="color: #000080;" href="http://pveic.vn/index.php?lang=2">PetroVietnam Energy Technology Corp</a>, its financial investment arm <a style="color: #000080;" href="http://www.pvfi.com.vn/">PVFI</a>, real estate division <a style="color: #000080;" href="http://www.ssggroup.com.vn/index.php?module=member&amp;function=detail&amp;id=19">SSG Group</a> and the <a href="http://pvc.vn/en-us/home.aspx">PetroVietnam Construction JSC</a>, which have a collective capital value of VND295.65 billion.
In addition, it will have to reduce the holdings in the <a href="http://www.pvtex-dv.vn/en/INTRODUCTION_61.aspx">Petrovietnam Petrochemical and Textile Fiber </a>to 36 per cent, and in the insurer <a href="http://www.pvi.com.vn/homepage.html">PVI Holdings</a> to 35 per cent, while implementing the equitisation of the Dung Quat oil refinery – the country’s largest oil processing facility. Thus, PetroVietnam’s ownership in the refining plant will be down to 75 per cent.
Two other units under PetroVietnam will also see IPOs after 2015 are <a href="https://www.pvoil.com.vn/en-US/pvoil/default.aspx">PV Oil</a> and <a href="http://www.pv-power.vn/web/vi-en/en/default.aspx">PV Power</a>.
Painful investments in banks 
PVCombank was initially PetroVietnam Financial Company, one of the largest stocks listed on the Ho Chi Minh City Stock Exchange. In 2013, it was merged with Western Bank to become a real lender. The divestment from this bank means the State Bank of Vietnam will hold a controlling stake of 52 per cent in the PVCombank, once the deal is finalised.
PetroVietnam will no longer hold equity in banks, following the “painful lesson” it has learnt from the involvement with Ocean Bank.
The group has not only lost its investment, it also saw the arrest of it&#8217;s chairman Nguyen Xuan Son &#8211; who was booked for being an accomplice of the OceanBank&#8217;s former chairman Ha Van Tham in the financial fraud case, exposed last year.
Vietnam’s police agency prosecuted Son, who is also OceanBank’s former CEO, on charges of abusing power while on duty.
Son was dismissed from the chairman position at PetroVietnam on July 19.
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The value of non-core investment of the Vietnam National Oil and Gas Group (PetroVietnam) amounted to trillions of Vietnamese dong, mainly including the investments in PVCombank and OceanBank.

Energy major PetroVietnam to divest from non-core business, mainly banks

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