May 10 (SeeNews) - Montenegro's healthcare and spa centre Institut Simo Milosevic, in the process of privatisation, said it has narrowed its net loss by 9% on the year to 1.3 million euro ($1.46 million) in the first quarter of 2019.
The company's operating revenue rose 9% to some 830,000 euro in the period under, while operating expenses edged up 0.6% to 2.17 million euro, the company said in an interim financial report published by the Montenegro Stock Exchange.
In March, the Montenegrin government said it plans to start negotiations with a consortium led by Czech company Philibert for the privatisation of a 56.48% stake in the company.
Philibert, in consortium with Montenegrin company Vile Oliva, was the sole bidder in the privatisation tender earlier this year, offering to pay 10 million euro for the 215,954 shares on offer and invest a further 27.9 million euro.
In August 2015, London-based International Wellness Group Limited (IWG) took over the state-owned stake in Simo Milosevic for 10 million euro but the government cancelled the contract in May 2016, after IWG failed to meet its obligations within the agreed deadline. Under the terms of the deal, IWG had to invest at least 50 million euro within five years. The agreement also included a commitment to invest 10 million euro in medical equipment.
Healthcare and spa centre Simo Milosevic, also known as Institute Igalo, is based in the Adriatic resort of Igalo, in the municipality of Herceg Novi.
($ = 0.890384 euro)