Bosnia's Federation Re-runs Tender for Trading & Services Firm Kemos

The Federation's Agency for Privatisation is asking 4.182 million marka ($3.1 million/2.1 million euro) for the company, the same price as in the previous tender, with offers lower than 55% of that price to be rejected as invalid, the agency said in a statement on its website.

In the previous tender, launched earlier this year, the government's asset-selling body said it would consider no bids lower than 60% of the ask price.

In evaluating the offers, the agency will place 35% weight on the proposed price, 30% on employment plans, 25% on investment plans (300,000 marka in investments are required in the first three years after the purchase, and 10% on retaining the core activity of the company. The breakdown is unchanged from the previous tender.

The deadline for submitting bids in the new tender is February 1. The privatisation agency will evaluate the received bids on February 8.

The Federation government failed to reach an agreement with the sole bidder in the previous tender for Kemos held earlier this year.

Kemos is based in the Bosnian capital Sarajevo, in the Muslim-Croat Federation, which is one of the two autonomous parts of post-war Bosnia. The other is the Serb Republic.

(1 euro = 1.95583 Bosnian marka)