March 14, 2012

 

Vietnam's Bianfishco to sell factory to pay off debts

 

 

In order to pay off debts to its fish providers in March, Can Tho-based Binh An Seafood JSC (Bianfishco) plans to sell its fish processing plant to a finance investment corporation from the Netherlands, the company's CEO Tran Van Tri confirmed Tuesday (Mar 13).

 

Tri, who replaced his wife as company CEO on February 23, said the company owes 45 local farmers VND261 billion (US$12.4 million) for tra fish they supplied.

 

Yesterday morning the company paid its 1,200 workers their February salaries, worth VND3 billion (US$143,000), he added. Many company employees remain out of work because of materials shortages.

 

According to the CEO, the company's total properties were audited and said to be worth more than VND2,700 billion (US$130million), adding that the company would be able to balance its current debts.

 

Tri said his business had taken steps to pay off debts and bank loans and would not go bankrupt, since the interest on its bank loans and taxes would be paid fully and on time.

 

The company will work with banks to discuss its loans and propose its restructuring plan by Thursday. Bianfishco will also urge its counterparts to pay back their debts to the company in order to help rectify the situation.

 

Talking with a Viet Nam Fatherland Front representative yesterday, farmers were hopeful that they would be paid within the month as promised. They also expressed their wish that the company would resume its operations and develop.

 

Former CEO Pham Thi Dieu Hien is a member of the Front and went abroad for medical reasons in late February.