PODGORICA (Montenegro), October 19 (SeeNews) – Montenegro's privatisation council launched a tender on Wednesday for the sale of a 51% state-owned stake in rail cargo operator Montecargo with a face value of 8.9 million euro ($9.8 million).
A total of 1,703,458 state-owned shares in Montecargo, with a nominal value of 5.2285 euro each, are up for sale, the privatisation council said in a notice published on its website.
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The deadline for the submission of bids is December 8.
The majority owner of Montecargo is the Montenegrin government with a stake of 85.4%. Government institutions control a further 2.2%.
The successful bidder has the opportunity to later acquire the remaining state-owned shares in Montecargo via recapitalisation, subject to achieved results, the privatisation council said.
The selected investor may be entitled after 3 years to acquire new shares in the company in the amount equivalent to the fulfilled obligations under the investment plan through recapitalisation, provided that the performance indicators related to investment commitments and social obligations laid down in the contract are unequivocally fulfilled, the agency explained.
The face value of Montecargo's total registered capital is 17.5 million euro.
Montenegro's privatisation plan for 2016 provides for the sale of stakes in several large companies including Montecargo.
Montecargo turned to a net profit of 53,717 euro in 2015 from a revised net loss of 1.9 million euro a year earlier
($=0.909315 euro)