Like many other companies on the privatization list, it was unsuccessfully proposed for sale in 2020.
Today, according to the draft of the Public Property Agency, the decision to approve an auction with open bidding as the method of privatization is justified by “the minority nature of the state’s participation, which does not provide it with the opportunity to control or significantly influence the company’s activity”.
Under these conditions, potential investors are mainly interested in acquiring a stake at a competitive price without assuming complex obligations.
This method of privatization allows for the efficient and rapid sale of the state’s stake on market terms and without restrictions, such as the imposition of investment or social obligations that could reduce investor interest.
Auction sales allow for transparent capitalization of assets through a competitive mechanism that increases the sale price. In addition, the bidding procedure itself is simpler and involves lower administrative costs, the explanatory note to the project notes.
The initial value of the lot offered at the auction will be determined in accordance with the provisions of the legislation in the part concerning the calculation of the price for state participation in commercial companies of less than 25%.
