Bulgaria Tries to Privatize Technoexportstroy at Cut Price

Bulgaria's Technoexportstroy has completed over 650 prestigious projects as main contractor. Photo by Technoexportstroy

The Bulgarian state has listed state construction company Technoexportstroy in a second privatization bid with a cut price, after a first listing failed to convince buyers.

A first try in the beginning of April, in which Technoexportstroy was valued at BGN 68 M, attracted 4 companies who bought the documentation, but then refrained to bid.

Now the state-owned company is listed for BGN 60 M for 103,970 shares comprising 100% of the company's capital.

Tehcnoexportstroy was created in 1964 as a consultant and construction company to work chiefly outside of Bulgaria - in the Middle East and Africa.

Recently the company's activity has been concentrated in Bulgaria. In 2010 it has built in the winter resort Borovets, as well as in a southern district of capital Sofia.

Both strategic and financial investors are invited to take part in the bid, with requirements also lowered down in comparison with the earlier privatization procedure.

Strategic investors have to have revenue from construction, design and engineering amounting to at least BGN 15 M for the last 3 years (down from BGN 30 M).

Financial investors are required to manage assets or to own shares in companies amounting to BGN 30 M for the last 3 years (down from BGN 100 M).