China to launch new round of SOE reform deepening – state media

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China is about to roll out a new round of deepening of state-owned enterprise (SOE) reforms and central government-administered SOEs including China Rail Construction, China National Nuclear Corporation, and China Southern Power Grid are implementing reform measures, reported state-run China Securities Journal.

The new round of deepening SOE reforms will focus on improving core competitiveness and enhancing core functions, and make greater efforts to build modern SOEs, it said. 

With equity incentives boosting operational efficiency, strategic restructuring, professional integration, higher dividends and stock buybacks to improve shareholder returns, more room for increasing leverage, and the Belt Road Initiative providing new overseas opportunities, the valuation of the SOEs is expected to be further reshaped, and SOEs with low valuation and high dividends are expected to be repriced by the market, it said.