Bulgarian Government to start major privatisation on December 1413.12.2010

Bulgaria hopes to collect the proceeds from the first major privatisation carried out during centre-right party GERB`s Government by the end of 2010.
A public auction of state stakes in 31 companies will be held from December 14 to 27 on the Bulgarian Stock Exchange in Sofia, the stock exchange said in a statement.
If the tender proves successful and the country manages to sell the companies even at the minimum offered price, the country will raise a total 78.88 million leva.
The funds secured through the auction will go straight to the state coffers, with most of the sum to be transferred to the State Consolidation Company (SCC), an entity formed as part of the country`s anti-crisis programme.
Currently, SCS incorporates one of the most alluring assets slated for privatisation, building firm Montazhi, which will be offered for 70 million leva.
If SCC collects the funds from Montazhi`s privatisation by the end of 2010, it will be able to distribute a dividend at the beginning of 2011, which will be transferred to the state budget.
Proceeds from the sales of the remaining assets should be added to the Silver Fund, a structure set up to compensate for the extra costs of ageing.


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