March 11 (SeeNews) - Montenegro plans to start negotiations "very soon" soon with a consortium led by Czech company Philibert for the privatisation of 56.48% stake in healthcare and spa centre Institut Simo Milosevic Igalo, a government official said.
"What is important for us, as sellers, is for the conditions that have we set in the tender to be fulfilled," a member of the tender commission of Montenegro's privatisation council, Goran Nikolic, said in a video file posted on the website of public broadcaster RTCG on Sunday.
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In January, the Montenegrin government said Philibert, in consortium with Montenegrin company Vile Oliva, has placed a valid offer for the acquisition of 56.48% interest in Simo Milosevic. The 10 million euro ($11.3 million) offer placed by Philibert was the sole bid in the tender for the sale of 215,954 shares in Simo Milosevic.
The consortium also proposed to invest 27.9 million euro in the Montenegrin company.
In August 2015, London-based International Wellness Group Limited (IWG) took over the state-owned stake in Simo Milosevic for 10 million euro but Montenegro's government canceled the contract In May 2016, as IWG failed to meet its obligations within the agreed deadline. Under the terms of the deal, IWG had to invest at least 50 million euro within five years from the takeover. The agreement also included a commitment to invest 10 million euro in medical equipment.
Healthcare and spa centre Simo Milosevic, also known as Institute Igalo, is based in the Adriatic resort of Igalo, in the municipality of Herceg Novi.
($ = 0.888659 euro)