TechHill Plaza buys Telefonija business building for RSD 505 million - BeotelNet still awaits new owner

TechHill Plaza has bought the business building of the Telefonija system in Belgrade for RSD 505 million. Namely, TechHill Plaza submitted a bid and provided a bank guarantee within the prescribed period, which was enough for this company to become the owner of the property at 241 Kumodraska Street.

The Board of Creditors has accepted this offer and explained that "it has been submitted in line with the Reorganization Plan and procedures for selling Telefonija's property." An agreement was signed and verified Thursday (7 March 2013).

Let us remind that Telefonija also invited binding bids from companies interested in buying its subsidiary BeotelNet. That was only one of the final actions in the application of the Reorganization Plan, which became legally binding on October 30th. At the same time, buildings in Kumodraska Street and Cerska Street, 55-percent stake in Belgrade-based MT Gastel doo, optical networks in several locations in Vojvodina and a part of the optical infrastructure in Subotica were put up for sale. In addition, gas supply networks in Novi Zednik-Cantavir, Ljutovo and Pacir too were offered for sale.

A consortium of companies Orion and SPV was the first to submit a bid for BeotelNet and the business building in Kumodraska Street. This consortium offered to pay EUR 5 million (on the condition that creditor banks provide the funding for the payment of aforementioned price) and EUR 1 for BeotelNet's stakes. Since the consortium failed to submit a bank guarantee and make a deposit, the Board of Creditors rejected this offer.

BeotelNet was also interested to Kerseyco Trading limited, which offered to pay EUR 200,000 for BeotelNet's stakes. Although Kerseyco Trading limited submitted a bank guarantee, the offer was rejected because, as it was explained, it did not involve an appropriate settlement for creditors.

The Invitation to Bid was then repeated, on January 4th, and an offer for the 100% stake in the subsidiary BeotelNet was then submitted by Towers Net doo (EUR 100 for stakes), while Kerseyco Trading limited submitted the same bid like the first time. None of these bidders either submitted a bank guarantee or made a deposit, so that BeotelNet still awaits new owner.