Agreement reached for tender sale of "Jugoremedija"

- Contract on tender sale of "Jugoremedija" was signed yesterday (August 13, 2009) in the Privatization Agency - the CEO of that Zrenjanin-based drugs factory, Zdravko Deurić, said to the press.

- The state is going to sell its package of stocks in the factory together with the stocks of minor stockholders in order for the strategic partner that will expand production of drugs to be found - said Deurić.

Refurbishment of the units in "Jugoremedija", which is necessary for obtaining of the international certificates for production (GMP), is in progress. About 8.3m EUR has already been invested in these refurbishment works.

- We expect to get the loan of about 2m EUR in order to finish the investment worth about 10m EUR. In that case, production should commence in about 20 days, and after that we expect to receive GMP certificates - Deurić announced.

"Jugoremedija" has been visited by the Minister of Labor and Social Policy, Rasim Ljajić, who has pointed out that that factory is specific example of both unsuccessful privatization and the way how the initiative of workers, trade unions and minor stockholders can put the company back on its feet and make it very attractive for potential buyers.

- I hope that the company, minor stockholders and management will manage to find an adequate strategic partner who is not only going to buy attractive building land, but also invest in the production - said Ljajić.

He pointed out that that factory had all the potentials to be successful, and that the aim of the visit was motivated by the Government's intention to back all the companies and local communities with good business initiatives.

- About 23% of all privatizations are unsuccessful, which does not mean that all other privatizations are successful. That is one of the basic reasons for current situation in the country, and all the strikes and protests organized by the workers - Ljajić pointed out.

The Mayor of the city of Zrenjanin, Mileta Mihajlov, also visited "Jugoremedija" and said that the local self-government was supporting that drugs factory, and he added that he believed that its next privatization would be successful, which would be very significant for creation of new jobs and development of the city.