Shenzhen's utility companies and Shanghai No 1 Department Store are among 100,000 state-owned enterprises (SOEs) scheduled for privatisation in the coming months and years, reported South China Morning Post. The newly formed Asset Supervision and Administration Commission has been working to merge SOEs into 196 major groups, with all remaining companies to be sold off or restructured in debt-equity swaps.
Beijing authorities have reportedly already produced a list of 104 enterprises for sale involving some Yn25.2bn in assets.
The companies were chosen because they were still profitable or had reasonable debt levels. In Shenzhen, major utility firms such as Shenzhen Resources, Shenzhen Water Services and Shenzhen Natural Gas are being sold. In Chongqing, officials are calling their sale a process of 'finding son-inlaws for their beloved daughters'.