Bidders for Croatia's Petrokemija to conduct additional due diligence in Oct

Several potential investors have submitted bids to acquire a stake in Petrokemija under the company's for recapitalisation which closed on September 22. Among the candidates are local oil pipeline operator Jadranski Naftovod and Polish chemicals group Azoty.

The bids are currently being examined by the state Restructuring and Sale Center and the Ministry of State Property, Petrokemija said in a filing to the Zagreb Stock Exchange.

The recapitalisation of the company was agreed with the Croatian government in April when it issued guarantees for two long-term loan deals signed with state-owned development bank HBOR and Hrvatska Postanska Banka, as well as a short-term financing deal with Erste&Steiermarkische Bank.

The aim of the recapitalisation is to modernise the manufacturing facilities, provide sources of financing, improve Petrokemija's position on the domestic and regional markets, and to raise the level of efficiency of maintenance, logistics and other services.

The Croatian government controls some 80% of Petrokemija.