The Turkish company, Erenli, will get a 67,469-square-meter land plot owned by the local authorities in Leskovac free of charge to build vehicle liquid circulation systems production plant, Nova Ekonomija reports.
The State Aid Control Commission has approved the allocation of the land and ordered the State Property Directorate to submit within 3 days to the State Aid Control Commission the Agreement on alienation of the publicly owned building land of Serbia.
According to the Ministry of Finance, the market value of the land is approximately EUR 1.2 million. The contract stipulates that Enerli will invest EUR 16.6 million and hire 338 employees.
The Turkish company will also undertake not to reduce the number of employees in the next five years from the date of completion of the investment project, and not to sell the land plot to a third party before the expiry of five years from the date of completion of the investment project.
The agreement also stipulates that at least 25% of the company’s investments must be financed from its own funds, i.e. funds that are not related to Serbian state aid. The company is also obliged to maintain the initial investment in the same area for at least five years from the date of completion of the project.
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