February 20 (SeeNews) - Slovenian energy group Petrol [LJE:PETG] has confirmed it is in talks with local state-controlled electricity distribution company Elektro Primorska on acquiring its E3 unit.
"With regard to the recent reports in the media, Petrol d.d., Ljubljana hereby notifies the interested public that according to the received information, the company has been selected as the most favourable bidder for the purchase of E3, d.o.o. and proceeds with negotiations for the above-mentioned purchase," Petrol said in a statement with the Ljubljana bourse on Wednesday.
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On Tuesday, news portal Finance.si reported that Elektro Primorska has decided to sell E3 to Petrol for some 15 million euro ($16 million), with the sale and purchase agreement expected to be signed by the end of the month.
Nova Gorica-based E3, active in western Slovenia, is one of the largest electricity distributors in the country.
In December, state news agency STA reported that Elektro Primorska had received three bids in the tender for the sale of E3 - from Petrol, Slovenian energy group GEN-I and state-owned electricity producer Holding Slovenske Elektrarne (HSE).
STA reported this week that following the E3 acquisition, Petrol will control 20% of Slovenia's electricity retail market.
($=0.927219 euro)
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