Tender for sale of Jagodina’s Industry of cables has been published - 56,6 million euros is the starting price

Agency for privatization has announced tender for sale of Industry of cables, based in Jagodina, by the starting price of 56,6 million euros,as it was confirmed to the company’s Union.

Deadline for submission of offers in March, 20th, next year, and the buyer will be obliged to maintain production of isolated wires and cables for at least next 10 years, and to invest no less than 10,2 million euros in modernization of the production process in the following 2 years, and also 1,2 million euros in protection of the living environment. Finally, the buyer must accept entirely minimum social program.

Condition for participation is that the buyer is involved in production of isolated wires and cables, for at least last 3 years in continuity, and that he made a profit of at least 50 million euros in the last business active year. If the buyer is an investor, he needs to proove a business profit larger than 60 million euros in his last business year.

4 factories within Jagodina’s holding are offered on sale – Factory of energetic cables, Factory of equipment, Factory of telecommunication cables and easy wires, Factory “Elmos” and Factory of cable tools and engineering in Dragocvet.

Also undergo in the offer, the Directorate and the bureau, and Social standard, d.o.o. “Toplana” in restructure and doo “Institut”, construction land on 182.493 square meters, spreaded on more than one hectare of land.

Written requests for purchase of tender documentation must be submitted by February, 27th, and documentation will be available from January, 26th. The fee for tender documentation is 10.000 euros.

Along with the tender for the Industry of cables, there was also announced public auction for sale of Distributors factory in Rekovac, within Industry of cables, while announcement of public auction for the factory in Despotovac is expected soon, as it was stated by the Union President, and member of tender comission, Dragan Rajic.

With stimulative payment from the Serbian Government, 493 workers are leaving the Industry, and 2.300 workers will remain on their positions, reminded us Mr.Rajic.