Romania's Privatization Body Plans Pwr Cos Listing -Mediafax

Romanias Privatization Body Plans Pwr Cos Listing -Mediafax
DJ
Δευ, 4 Φεβρουαρίου 2008 - 01:26
BUCHAREST (Dow Jones)--Romania's privatization agency plans to list minority stakes in six state-run power plants and suppliers on the Bucharest Stock Exchange in a few months, news agency Mediafax reported the agency's head Teodor Atanasiu as saying.
BUCHAREST (Dow Jones)--Romania's privatization agency plans to list minority stakes in six state-run power plants and suppliers on the Bucharest Stock Exchange in a few months, news agency Mediafax reported the agency's head Teodor Atanasiu as saying.

"We hope to sell the majority stakes in the companies on the stock exchange after these listings, as other countries' experience shows such a sale delivers the best results," Atanasiu added.

Romania plans to privatize some of the three remaining branches of former monopoly Electrica SA and three power plants Craiova, Rovinari and Turceni, but only after the formation of a state-owned power utility that would result from the merger of the country's remaining power suppliers and producers, Atanasiu said.

The Romanian government plans to set up a vertically-integrated power holding to compete with major European utilities, such as Czech group CEZ AS (BAACEZ.PR) and Italy's Enel SpA (EN), by merging its remaining state-controlled power suppliers and producers.

Atanasiu said the government is expected to make a decision on the power utility in two months and added Nuclearelectrica, the operator of the country's sole power station Cernavoda, won't be part of the power holding.

Romania still retains control of power producers Hidroelectrica, Nuclearelectrica, Termoelectrica, Turceni, Rovinari and Craiova, as well as the three power suppliers belonging to Electrica.

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