PKB offered at the initial price of 104.5mln EUR

Serbian government has launched a tender for the privatization of agricultural company Agricultural Corporation Belgrade (PKB) at a starting price of 104.6 million euro ($121.2 million) – the Ministry of Economy said.

The tender is open to legal entities that are mainly active in agriculture and trade in agricultural products, reads the notice posted on the website of the Ministry of Economy.

The deadline for submission of bids is 10th September.

PKB subsidiaries EKO-LAB, PKB Agroekonomik and Veterinary Station PKB are also on sale as part of the tender.

The resident representative of the International Monetary Fund in Serbia, Sebastian Sosa, said last month the Fund is expecting to see a tender for the sale of PKB in the next month. After several unsuccessful attempts to find a strategic investor for the company, the government decided to either launch a tender for the sale of PKB or initiate a bankruptcy procedure to free resources from the budget that can be used for other purposes, Sosa added.

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Serbia’s government called a public tender for the sale of PKB subsidiaries Agricultural Aviation, EKO-LAB, PKB Agroekonomik and Veterinary Station in January 2017. However, the government has not issued a public announcement on the outcome of the tender.

In February 2017, Serbian economy minister Goran Knezevic said the government aimed to sell PKB by the end of 2017.

Earlier this year, local media reported that two Serbian companies, MK Group and meat processing group Industry Mesa Matijevic, showed interest in privatization of PKB.

The government plans to sell 16,785 hectares of PKB’s land in the municipalities of Palilula, Surcin and Zrenjanin, construction sites used for business purposes, equipment, supplies of spare parts and herds.

The estimated value of the land, buildings and equipment is 208.5 million euro. The state Share owns 29 percent of Ekolab worth 214.700 euro, while 45.77 percent is owned by the Institute PKB Agroekonomik (worth 431.300 euro).

The estimated value of the livestock under PKB’s management is 17.3 million euro, but this value was not considered when the government set the initial bidding price.

(Nova Ekonomija, 09.08.2018)

http://novaekonomija.rs/vesti/vesti-iz-zemlje/objavljeni-uslovi-za-prodaju-pkb-a–%C4%8Dija-je-cena-1045-miliona-evra

 

This post is also available in: Italiano

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