March 18 (SeeNews) - Bulgaria's Power Distribution South, part of Austrian energy group EVN, said that it has signed two security services agreements with local company Kremak worth a total of 53.9 million levs ($31.3 million/27.6 million).
The larger contract, worth 51 million levs, covers infrastructure located on the license territory of Power Distribution South, while the other deal, worth 2.8 million levs, concerns infrastructure within the license area of EVN Bulgaria Toplofikatsiya, Power Distribution South said in a notice on Friday.
The deals were signed on February 18.
Kremak submitted the only valid offer in the public procurement procedures for awarding each of the two contracts.
The price of the contract exceeds the initial total estimated value of the two contracts, of 38.2 million levs, by over 40%.
Stara Zagora-based Kremak has a registered capital of 5,000 levs and is fully owned by private investor Mitko Yordanov, according to commercial register data.
Kremak booked a net profit of 4.3 million levs in 2017 on total revenue of 14.5 million levs, according to its most recent annual financial statement, filed with the commercial register.
Power Distribution South operates the power grid in southeastern Bulgaria.
(1 euro=1.95583 levs)