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Privatisation Council approves draft contract for acquisition of Institute "Dr Simo Milošević AD Igalo"

Published on: Aug 21, 2015 1:57 AM Author: PR Service
Podgorica, Montenegro (20 August 2015) – The Council for Privatisation and Capital Projects discussed at its meeting earlier today the outcome of the international tender for the acquisition of 56,4806% of the Institute for Physical Medicine, Rehabilitaion and Rheumatology "Dr Simo Milošević AD Igalo."

Negotiating with the International Wellness Group Limited - London, the only bidder at the tender, the tender commission has agreed on the basic elements of the contract which includes the purchase price of EUR 10.025,306 for 56.4806% of the share capital and the bidder’s obligation to make a minimum investment of EUR 50 million within five years from the takeover of the company. The offer also includes an investment in medical equipment worth EURO 10 million, in line with the investment lan.

The Council adopted the report on the outcome of the public tender for the valuation of a part of the state-owned factory "Gornji Ibar" in the municipality of Rožaje, as well as draft agreements on the purchase and investment in one and lease of another part of the property, for which the Turkey-based Sancakli Mobilya Agac. Tic. A.S., a company with significant experience and references in wood processing business, has filed a bid at the international tender.

For the purchase of movable and immovable state property, the bidder offers EUR 400.000, while the fee for the lease of land, buildings and related movable assets amounts to € 6.976,8 per year, or sixty cents per square foot of leased land. The bidder is committed to make a minimum investment of EUR 5.36 million in the production capacities, of which EUR 986,000 in the reconstruction of the existing buildings, and EUR 4.4 million in the working capital for the purposes of the production process.

At today's meeting, the Council concluded that the tender for the acquisition of the New Tobacco Plant was unsuccessful and charged the tender commission to issue a new call as quickly as possible.

The Council considered and adopted the report on the enforcement of the contract for the privatisation of the Jadran AD Perast and draft annex II of the contract. The proposed annex provides for a new deadline for the implementation of the investment programme and business plan worth EUR 10 million, which starts on the day of the signing of the Annex and will last for 48 months.

Starting from the requirements made by the Parliament’s Commission for monitoring and control of privatisation procedures, the Council issued a decision allowing members of the parliamentary body to have access to the Council’s classified information, when they need them in exercising their functions and duties.
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