By Ding Qi (chinadaily.com.cn)
Updated: 2007-08-13 11:18

The State-owned Assets Supervision and Administration Commission of the State Council (SASAC) vowed to make use of the domestic equity market to further reform and restructure central enterprises, Shanghai Securities News reported on Monday.

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At a seminar of major central enterprises between July 31 and August 2, SASAC officials voiced support for restructuring and whole listing of large central enterprises.

Meanwhile, the government is preparing to encourage and help those not eligible yet for whole listing to inject high quality assets into their listed subsidiaries to make them "bigger and stronger."

SASAC officials also mentioned plans to reorganize central enterprises based on asset management companies after the system of State-owned asset budgets takes shape. In addition, SASAC will explore new structural models through merger and acquisition in the equity market.

Central enterprises such as Baosteel Group and Shenhua Group have floated shares successfully in Shanghai and Hong Kong, and IPOs for China Railway Engineering Corporation and China Railway Construction Corporation are also under way. Furthermore, several central enterprises including COSCO Group have vowed to inject high quality assets into their listed arms.