CIENCO4: Vietnam's leading infrastructure construction group

(Baonghean) - With reasonable, scientific, drastic, focused and key management solutions of the Board of Directors of Cienco4 Group, in recent years, the scale of the enterprise has continuously expanded, the reputation and brand of CIENCO4 in the market have been increasingly affirmed, creating great trust for investors, domestic and international partners.

No. 1 Transport Group

Established on December 27, 1962, formerly the Department of Construction (Ministry of Transport), after 55 years of construction and development, CIENCO4 has become the leading investment and construction unit in the field of transport in Vietnam, twice awarded the title of Heroic Unit by the State. Implementing the policy of the Government and the Ministry of Transport, on June 2, 2014, CIENCO4 equitized, transforming its operating model from a 100% state-owned enterprise to a joint stock company. This is considered a historic turning point in the formation and development of CIENCO4 Group.

Vinh Ngoc - Hanoi intersection constructed by CIENCO4.

Operating under the joint stock company model has created favorable conditions for enterprises to expand their markets and access large-scale projects using loans from ADB, WB, JICA in the Noi Bai - Lao Cai, Da Nang - Quang Ngai, Ben Luc - Long Thanh, Nhat Tan - Noi Bai expressways... This is something that CIENCO4 could not participate in construction before due to the legal constraints of the sponsor. In particular, the equitization process has created a strict, dynamic and effective management mechanism for CIENCO4 to continuously improve its competitiveness in the market; at the same time, promoting the initiative in production, business and the real ownership role of strategic investors, ensuring maximum benefits for shareholders and employees.

Less than a year after equitization, in early 2015, CIENCO4 increased its charter capital from VND600 billion to VND720 billion. Most recently, on June 15, 2016, CIENCO4 continued to successfully issue 28 million shares (par value VND10,000/share) to existing shareholders, raising its charter capital to VND1,000 billion, becoming one of the enterprises with the largest charter capital in the field of basic transport construction. In November 2016, in New Zealand, CIENCO4 was honored to receive the Outstanding Enterprise Award at the Asia-Pacific International Quality Awards Ceremony. This is a prestigious award that large companies in the Asia-Pacific region aim for and wish to achieve. Previously, in October 2016, Chairman of the Board of Directors and General Director of CIENCO4 - Nguyen Tuan Huynh was awarded the title "Outstanding Vietnamese Entrepreneur of 2016".

Not only is CIENCO4 Group one of the largest contractors and investors in infrastructure construction in Vietnam, it is also a familiar and trusted partner of domestic and foreign enterprises. With reasonable, scientific, drastic, focused and key management solutions of the Group's Board of Directors in recent years, the scale of the enterprise has continuously expanded, the reputation and brand of CIENCO4 in the market have been increasingly affirmed, creating great trust for investors, domestic and international partners. The output value, revenue, profit and income of CIENCO4 employees have continuously grown over the years. As of December 31, 2016, the force of officers, engineers and employees of CIENCO4 Group was 8,000 people, who were well-trained, formally trained and had a reasonable human resource structure, with full experience in all fields of production and business, which is an extremely necessary condition for the construction and development of the Group.

In addition, the total asset value of the Group has increased over the years. If in 2010, the total asset value of the Group was only 1,363 billion VND, by December 31, 2016, the asset value reached 7,271 billion VND, so after 6 years, the total asset value of the Group has increased nearly 7 times. That shows that the Group is implementing the strategy set out by the Board of Directors, developing stably and sustainably.

Currently, CIENCO4 Group has owned and mastered many modern and advanced construction technologies, ensuring the construction of large projects with complex technical requirements such as: Casting on mobile scaffolding (MSS), balanced cantilever technology, cable-stayed bridges, urban tunnels, mountain road tunnels, steel pipe pile cofferdam foundations (SPSP), weak soil treatment lines, highways, airports, seaports, civil construction...

Based on the general development orientation of the country and the world economic and political situation, the Board of Directors of CIENCO4 agreed to change the development direction of the Corporation into a multi-industry economic group, in which investment in the construction of transport infrastructure is the main focus, gradually expanding to areas such as real estate, resort tourism, industrial parks, environment, energy and production of other products...

Office building 180 Nguyen Thi Minh Khai of CIENCO4 Group is under construction.

Trusted partner of Japanese enterprises

CIENCO4 Group is the contractor that participates the most in infrastructure projects using Japanese ODA capital in Vietnam. In Hanoi, there are projects such as Thanh Tri Bridge, Ring Road 3, Terminal T2 of Noi Bai International Airport, Nhat Tan - Noi Bai project... Many projects to build bridges and roads on National Highway 1 and the North - South unified railway, Tan Vu - Lach Huyen Bridge (Hai Phong), Tan Son Nhat Airport, the gateway to Vietnam's air and seaports and many other projects that CIENCO4 Group participated in using Japanese ODA capital have left good impressions, with economic and foreign significance for the process of Vietnam's economic development.

In addition, CIENCO4 is also proactive in working with prestigious contractors around the world, including Japan, to access new, advanced and scientific technologies and management methods. At the same time, CIENCO4 also regularly invests in new and modern types of machinery and equipment for construction such as: Road construction lines (modern paving machines, high-capacity vibrating rollers), cement concrete pavement construction equipment lines, arch bridges, tunnel drilling equipment through mountains, urban tunnels and other highly specialized construction lines... Currently, CIENCO4 is cooperating with Sumitomo Company to implement many large projects in Vietnam, typically the Ben Luc - Long Thanh expressway project, Ben Thanh - Suoi Tien Metro tunnel, Tan Vu - Lach Huyen expressway project...

The longest sea-crossing bridge in Vietnam and one of the largest bridges in Southeast Asia was constructed by the CIENCO4-SUMITO MITSUI - Truong Son Group Joint Venture.

At the same time, CIENCO4 Group, together with Sumitomo Company, sent officers, engineers, and skilled workers to study and train in Japan with the Sumitomo Company system. To gradually realize the goal of turning the Group into a multi-industry economic group, on October 5, 2016, CIENCO4 Group and Hemaraj Group (Thailand) signed an investment agreement with Nghe An province on the project of investing in the construction and business of industrial park - urban infrastructure in the Southeast Economic Zone (Nghe An), worth about 1 billion USD. This is a very large-scale project divided into 7 phases, expected to start in 2017 and be completed in 2038. Previously, in April 2016, CIENCO4 joined forces with TECCO Corporation to establish TECCO - CIENCO4 Real Estate Investment Joint Stock Company to implement a number of real estate projects in Hanoi, Ho Chi Minh City and Vinh City, now CIENCO4 LAND Company.

According to Mr. Nguyen Tuan Huynh - Chairman of the Board of Directors, General Director of the Group shared: "CIENCO4 always respects and welcomes Japanese partners to cooperate with us in construction projects, infrastructure investment in the form of joint ventures; PPP investment cooperation, especially the North-South Expressway Construction Project; Long Thanh Airport is being implemented by the Vietnamese Government".

PV