Montenegro Airlines MA is not listed as a company to be privatized this year because there is no interest for its actions from strategic partners, said member of Council for privatization Branko Vujovic for Dan daily.
“However, although privatization is not planned, we can put it on a list if there is concrete interest. Combinations of methods of privatization are also possible. It does not have to privatized through selling actions, it could be a partnership with different percentage of investment in capital, depending on what attract the attention of investors”, Vujovic said.
MA is in big debt, at the end of September it had 64,4 million in deficit, and they have recently changed administration. It was in the plan for privatization for almost ten years, and last year there was a chance to sell 50% plus one to a potential investor. However, there was no interest because the company kept ending with deficit. Seven years ago, MA’s debt was a lot less than it is today.
After changing the administration, the Government (the owner) must find solution for MA.
Vujovic said that bankruptcy is the last option for MA and that with strategic partner a solution had to be found, regardless of debts.
“A solution could be found if we found a partner”, Vujovic said, adding that with MA, the goal is to preserve the state’s interest.
“Our interest is to have a company that offers direct flights to several big cities, this needs to be included in negotiations. There is possibility sell majority, minority of actions, or to sell through public-private partnership”, Vujovic said.
The Council’s plan entails privatization of 35 companies and sites. Among them is Riviera of Budva. Before privatization, there needs to be reconstruction of company – split to two parts. One company would be Sveti Stefan and Milocer that would remain in state’s ownership, while other hotels owned by Riviera of Budva would be owned by some other company.
The plan entails lending Kraljicina plaza Dubovica as well.
Investors’ wishes for Buljarica
Tender for selling land on Buljarica continues. Offer of 107,8 million EUR from CCC International Corporation was opened last year, and the company’s condition are issued state guarantees, urbanization and legislation according to their desires, construction permits within 30 days, with punishment fees for each day of being late at 50.000 EUR, customs liberation, no taxes for construction and economic citizenship.
Vujovic said negotiations on Buljarica would continue, but two key matters must be resolved.
“There is a matter of compliance between offered and original master plan with what is our spatial plan for the coast. Investors’ wishes must be in compliance with realistic possibilities as well”, Vujovic said.
