DUSHANBE, June 20, Asia-Plus – International tender for privatization of open joint-stock company (OJSC) Tajikkhimprom (Yovon chemical plant) has started at the State Committee for Investments and Management of State-owned Property.
The source at the committee has refrained from giving information about number of received applications for participation in the tender. “Names of companies participating in the tender will be known only after opening of an envelope,” the source, adding that companies from Kazakhstan, Iran and other countries from both near and far abroad are interested in privatization of the plant.
As it had been reported earlier, the plant’s debts now exceed its assets nearly ten times, and a valuation commission has set the initial price of the package of 15,300,120 shares at 10 million somonis (equivalent to $2.9 million).
Both Tajik and foreign physical and legal entities have the right to participate in the auction for Tajikkhimprom.
According to the source, preference will be given for those participants who are ready to provide not less than $20 million before 2009 for modernization of equipment, introduction of new technologies, and full reconstruction of the enterprise.
According to the State Committee for Investments and Management of State-owned Property, purchaser is not considered legal owner of the enterprise until he fulfills all obligations on the approved business-plan and repays the facility’s debts. The obligations, in particular, include increase of a volume of production of output by more than $15 million till 2009, with not less than a $2 million increase to be provided in 2007. The facility’s debts now amount to 28.559 somonis (equivalent to $8.2075), the source said.
Under the strategic plan for privatization of medium and large enterprises, as well as restructuring of entities of natural monopolies and especially large enterprises designed for 2003-2007, 37 large enterprises are subject to restructuring. Among them are Tajikcement, TajikAir, Tajikkhimprom, Tajik Telecom, Tojikgaz, Tajik Railways, Barqi Tojik, etc.
The government has to date endorsed individual plans for restructuring the following large state-owned enterprises: national air carrier TajikAir; OJSC Tajik Telecom (Tajik national telecommunications operator); joint-stock company (JSC) Tajikteleradiocom and Tojikcement (Dushanbe cement plant).
