Energy
Buyback of INA shares from Hungary's Mol reaches key stage
The consortium also includes Intesa Sanpaolo and its Croatian branch Privredna Banka Zagreb.
“In accordance with this decision, we will start negotiations with the consortium and will sign a contract," Reuters cited Maric as saying.
The cabinet asked offers from 22 potential advisers on 15 December and received seven offers by the 15 January deadline. Although the deadline was extended due to the low number of applicants, no new offers were received.
The offers for analytic and consultancy work ranged between EUR 7 million and EUR 14.3 million. The consortium’s offer, which was deemed the “most competitive" by the Croatian government, is EUR 8 million.
The adviser’s role will be to prepare the transaction, create a value assessment and seek out potential strategic partners.
Zagreb, which owns 44.84% of INA, and Mol with a 49.08% stake, have for several years been at odds over management rights and INA’s investment strategy.
Croatia said in late 2016 it had decided to buy back INA shares and Hungary’s Prime Minister Viktor Orbán confirmed that Mol was ready to sell.INA has a market capitalisation of about 33 billion kuna (USD 5.49 billion) but analysts have said the small free float of the company is likely to impact its value.
Zagreb filed a lawsuit against Mol at an arbitration court in early 2014, arguing that the Hungarian fuels group acquired control of INA via corruption, failed to fulfil the investments undertaken in the shareholder agreement and violated Croatian legislation on commercial companies. The tribunal rejected all allegations at the end of 2016, after which Prime Minister Andrej Plenkovic announced they wanted to buy back Mol’s INA stake.
“In accordance with this decision, we will start negotiations with the consortium and will sign a contract," Reuters cited Maric as saying.
The cabinet asked offers from 22 potential advisers on 15 December and received seven offers by the 15 January deadline. Although the deadline was extended due to the low number of applicants, no new offers were received.
The offers for analytic and consultancy work ranged between EUR 7 million and EUR 14.3 million. The consortium’s offer, which was deemed the “most competitive" by the Croatian government, is EUR 8 million.
The adviser’s role will be to prepare the transaction, create a value assessment and seek out potential strategic partners.
Zagreb, which owns 44.84% of INA, and Mol with a 49.08% stake, have for several years been at odds over management rights and INA’s investment strategy.
Croatia said in late 2016 it had decided to buy back INA shares and Hungary’s Prime Minister Viktor Orbán confirmed that Mol was ready to sell.INA has a market capitalisation of about 33 billion kuna (USD 5.49 billion) but analysts have said the small free float of the company is likely to impact its value.
Zagreb filed a lawsuit against Mol at an arbitration court in early 2014, arguing that the Hungarian fuels group acquired control of INA via corruption, failed to fulfil the investments undertaken in the shareholder agreement and violated Croatian legislation on commercial companies. The tribunal rejected all allegations at the end of 2016, after which Prime Minister Andrej Plenkovic announced they wanted to buy back Mol’s INA stake.
