Govt keen on partial privatisation of SOEs

Business

THE Government is keen on the partial privatisation of State-owned enterprises (SOE) to attract private investor participation through shares.
State Enterprises Minister Sasindran Muthuvel was speaking on SOE reforms yesterday during a business breakfast at the Hilton Hotel in Port Moresby.
“We are seriously seeking industry partners,” he said. “It is not official but I am currently lobbing for Government to give the approval for us to go into the international market and look for serious investors.
“In doing so, we become perceived investors, for example we become 49 per cent shareholders and the industry partner can become a 51 per cent shareholder.
“So out of our 49, we could give 30 per cent to our superfunds which are cash rich.”
Muthuvel said the superfunds were keen and discussions had begun with Nambawan Super.
“We have had a serious meeting with the board of directors for Nambawan Super and they are expressing interest to participate not in all the SOEs but some of them,” he said.
“So we are keen and we are open to that idea of partial privatisation and we want to be part of that success like BSP (Bank South Pacific) and is still continuing to get that value.
“We don’t mind selling 100 per cent if someone gives maybe 10 to 20 per cent.”