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SHENZHEN, Sept 2 Asia Pulse - Shenzhen city in south China's Guangdong province is initiating a trial policy of selling shares of its state-owned enterprises to foreign investors.
The first batch of five companies are all engaged in such monopolistic industries as electric power, tap water, natural gas supply and public transportation, according to Yu Youjun, mayor of the city.
As the first Special Economic Zone (SEZ) founded in China, Shenzhen has been taking the lead in the country's economic reform.
The Shenzhen Energy (Group) Corporation, which plans to transfer 25 per cent of its shares, has now established contact with 13 multinationals. The company generated 3.8 million kilowatts of electricity last year, or one tenth of the province's total.
Lao Derong, chairman of the board of the company, said that what they want to do is to "make the cake bigger".
"If we can make a 1-kg cake ourselves, we can get only one kg of cake ...
Source: HighBeam Research, SHENZHEN TO SELL STATE-OWNED SHARES TO FOREIGN INVESTORS.