A recycling factory in Vientiane’s Xaysettha district ceased operations yesterday after the government recently ordered the owner to close down, but the facility is expected to move to a new location.
Deputy PM Pays Working Visit to Savannakhet and Khammuan
Deputy Prime Minister Dr Sonexay Siphandone and his delegation recently paid a working visit to Savannakhet and Khammuan provinces, advising authorities to continue maintaining political stability and paying attention to socio-economic development.
Govt Gives Green Light to Vientiane Province Cement Production
The government has agreed to allow Vientiane Hongshi Saythirath Cement Co., Ltd to excavate lime and construct a cement factory in Vientiane province after the developer completed feasibility studies.
PM Urges more Efforts in Research Work
The Ministry of Science and Technology has to work harder in developing the sector so that its achievements serve those of other sectors, contributing to socio-economic development in the country.
Banpu Power Targets Bt13.6 Billion From Upcoming IPO
BANPU POWER has targeted raising up to Bt13.6 billion from its initial public offering (IPO) later this month. The company, whose shares will be traded on the stock exchange under the BPP symbol, is being spun off from Banpu, which will remain a coal producer and maintain a 78.71-per-cent holding in its power-generating subsidiary after the IPO.
Banpu Power plans to issue up to 648.5 million new shares, 210 million of which will be allocated to Banpu shareholders and the balance to the general public.
The IPO price range is set at between Bt18 and Bt21 per share. The subscription period is October 10-13 for Banpu shareholders, and October 18-20 for the general public.
Somruedee Chaimongkol, chief executive officer of Banpu and a board member of Banpu Power, said the spun-off unit would be a near debt-free company with a shareholding equity of Bt34 billion and the capability to borrow more than US$700 million-$750 million (Bt24.3 billion-Bt26.1 billion) that it needs to fund the targeted expansion of its equity-based power-generating capacity from 1,913 megawatts at present to 4,300MW by 2025.
Most of the IPO proceeds will be used to repay a loan from its parent company for equity investment in the lignite-fired Hongsa power project in Laos early this year.
The repayment will help Banpu to save on interest payments to the tune of about $8 million annually.
She said Banpu Power had signed an international cornerstone placing agreement to allocate 110 million shares to Capital Research and Management and Credit Suisse, which had agreed to subscribe to the shares at the final IPO price, because the companies were both quality institutional investors whose participation would boost the confidence of general investors.
Bualuang Securities, Kasikorn Securities and Thanachart Securities are the co-lead underwriters of the IPO, the final price of which will be announced on October 17.
Previously a purely coal-fired power producer, Banpu Power entered the renewable-power business last year with solar-power investments in Japan and China.
From only 55.6MWequity capacity currently, the company aims to increase its renewable-power capacity to at least 20 per cent of its total equity MW by 2025.
China and Japan will contribute chiefly to the renewable target, with 400MW-500 MW to be derived from China, and 200MW from Japan, Banpu’s CEO said.
Banpu Power chief executive officer Voravudhi Linananda said the company’s strengths lay in its high-quality power-generation assets located in fast-growing markets in Asia.
It operates in Thailand, Laos, Japan and China, and is eyeing projects in Indonesia, the Philippines, Vietnam, India and other Asia-Pacific countries.
Committed projects and those under development alone will help Banpu Power to grow by 10 per cent annually, reaching 2,500MW equity capacity by 2018, he said.
The power producer believes it can maintain the return on its Japanese and Chinese investments at 12-14 per cent per annum in the years to come, he added.
Meanwhile, the company has set a goal for its Thai and Chinese power assets to each contribute one-third of its portfolio.
Somruedee said Banpu expected to benefit from the rally in coal prices, which had shot up to $78-$80 a tonne from less than $60 last year, since it still had about one-fourth of the 41 million-42 million tonnes of coal it expected to sell this year that it had not yet entered into forward-price contracts.
The coal producer would, therefore, realise the improved market prices in the current quarter.
Source: The Nation
Japanese Companies Get Big Break in Laos
TOKYO — Laos’ patent authority has decided to recognize patents on technologies that have been granted in Japan. The decision will allow Japanese companies to skip a slow screening process when moving operations to Laos.
Thanks to the arrangement between the two countries’ patent authorities — the Japan Patent Office and Laos’ Intellectual Property Department — Japanese companies will be able to have their technologies protected in the Southeast Asian country.
The arrangement kicks in next month.
Japanese companies will only be required to obtain a Japanese certificate proving their technology is patented, Japan Patent Office officials said.
The arrangement follows a similar agreement Japan recently signed with Cambodia. It is part of the Japan Patent Office’s ongoing efforts to obtain cooperation with other countries in the area of intellectual property to support Japanese companies’ overseas expansion drives.
Japanese businesses have been inconvenienced by Laos’ inadequate application-screening system.
An increasing number of Japanese businesses are setting up shop in Laos, attracted by relatively cheap labor and industrial parks that offer tax breaks.
Toyota Boshoku, which makes auto interior parts, mostly for Toyota Motor, and precision machinery producer Nikon are two Japanese companies that have relocated plants from Thailand to Laos.
Source: Nikkei Asian Review
Lao Enterprises Seek Greater Access to Chinese Market
Lao associations of furniture, rice mill and coffee have shared experiences on promoting exports of Lao commodities to China, Lao state-run news agency KPL reported Tuesday.
Over the past few years, Chinese businessmen have expressed interest in various kinds of goods from Laos including furniture, handicrafts, and agriculture products, but have been unable to get access to the products.
As a result, Lao businessmen need to learn how to bring their products into Chinese markets, Somvang Ninthavong, Head of the Promotion and Development Department was quoted as saying.
Chinese consumers are especially interested in Lao rice. According to KPL report, in 2015, Laos exported 8,000 tons of rice to China.
China is a huge market sharing a border with Laos, and exporting to China could therefore be quite convenient.
Lao government and Ministry of Industry and Commerce have been cooperating with the private sector to learn about laws and educate consumer groups and businessmen in Laos, Somvang said at a seminar held by the ministry in capital Vientiane on Monday.
Source: Global Times (Xinhua)
InfoSat-Laos DTH Platform on Thaicom
Thaicom – one of Asia’s leading satellite operators – has signed a contract with InfoSat-Laos, DTH) satellite TV operator in Laos- for the launch of its new DTH platform on the Thaicom 8 satellite.
Under the agreement, InfoSat-Laos has signed a multi-year transponder agreement for Ku-band capacity on Thaicom 8. The deal emphasises Thaicom’s ASEAN Economic Community (AEC) strategy and commitment to providing the region with premium satellite services. InfoSat-Laos builds the DTH platform to satisfy the increasing demand of Ku-band in Laos. The platform has more than 15 channels available in both SD and HD formats.
“Thaicom 8 supports the continued high demand for Ku-band capacity of the broadcasting industry in Asia and Africa as it transitions from standard definition to high definition and ultra-high definition”, said Patompob (Nile) Suwansiri, CCO, Thaicom Public Company Limited. “We are delighted to be able to support InfoSat-Laos’ business strategy. With its high signal-strength, Thaicom 8 is optimised to provide state-of-the-art TV broadcast services in Laos.”
Source: Advanced Television