Coteccons Chairman: Losing the Long Thanh Airport bid will not affect the future.

Mr. Bolat Duisenov, Chairman of Coteccons, said that although he was very disappointed to lose, the Long Thanh airport terminal contract accounted for a small proportion of the company's business plan.

Answering a question from VnExpress at today's annual general meeting of shareholders, Mr. Bolat Duisenov - Chairman of Coteccons Construction Joint Stock Company (CTD), affirmed that failing to win the 5.10 package for Long Thanh Airport will not affect the company's future. In CTD's business plan, this package accounts for a small proportion because the company has a larger goal when participating in the infrastructure construction sector.

"The Long Thanh airport project was a huge opportunity that we missed out on. I am very sad and have many emotions about not winning the bid. But that doesn't mean we will go home and give up," Mr. Bolat shared.

Mr. Bolat Duisenov, Chairman of Coteccons, speaks at the annual general meeting on the afternoon of October 17th. Photo: CTD

Package 5.10 includes the construction and equipment installation of the passenger terminal at Long Thanh International Airport ( Dong Nai ). This is the most valuable item in the project, worth 35,000 billion VND.

Coteccons, leading the Hoa Lu Joint Venture, was one of three bidders, alongside the Vietur Joint Venture and CHEC-BCEG-Vietnam Contractors. After the first round of bidding, which Vietur won, the Hoa Lu Joint Venture accused the contractor of violating regulations and failing to meet technical requirements. Subsequently, ministerial-level agencies intervened to handle the complaint. Ultimately, the Vietur Joint Venture won the contract to build the Long Thanh airport terminal.

According to CEO Vo Hoang Lam, in the past, the company's approach to public investment projects was not suitable. After failing to win the bid, the company conducted a process of learning from experience. The company studied and researched new approaches, similar to those of international general contractors. CTD will seek to submit the best construction methods at the most appropriate price, thereby offering the best solution to the government to have the opportunity to build key projects. He believes that if Coteccons continues to improve its approach, opportunities will come.

When CTD expanded into infrastructure construction, some shareholders questioned the company's opportunities to participate in future projects. One opinion suggested that many infrastructure projects had been underway for some time, but Coteccons had only been a spectator. This person requested that the company's leadership demonstrate its capacity to pursue this field.

Responding to shareholders, Mr. Lam used the word "passion" to describe this plan and reiterated that Long Thanh Airport is just one of many key public investment projects in the coming period. To achieve strong economic development in the next 3-5 years, Vietnam will need to invest in many large infrastructure projects. Simultaneously, rapid urbanization and a massive influx of foreign investment require numerous supporting infrastructure projects. As a result, CTD forecasts that the construction industry will grow by 40-45%, and the company could capture a very large market share within it.

Besides airports, infrastructure development also includes highways, road transport routes, urban rail, and many other public projects. Coteccons is exploring participation and is focusing only on large-scale projects.

Over the past period, the company has focused on strengthening its team, resolving outstanding issues, and optimizing operational capacity. Following the Long Thanh airport bidding process, the company has built a specialized infrastructure and public investment team to serve the future. CTD's goal is to establish a foothold in the infrastructure segment, similar to its position in the civil and industrial segments. Mr. Bolat believes it will take another 6-18 months for the results of the infrastructure segment to be seen, depending on the overall development of public investment in Vietnam.

In addition to infrastructure, Coteccons is planning to expand into social housing and renewable energy construction. Simultaneously, the company is preparing to enter overseas markets. First, CTD will follow its valued clients when they travel abroad. The company will proactively explore markets to expand its business operations beyond Vietnam.

The aforementioned diversification activities will be one of the strategies for Coteccons to achieve its previously set targets of $3 billion in revenue and $1 billion in market capitalization. One shareholder questioned whether these targets were merely empty slogans from the company's leadership, as business growth has not been significant so far. In response, Mr. Bolat affirmed that the two milestones would be "certainly achieved," but that it would require more time than initially projected in 2025.

Tat Dat

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