Bulgaria Plans to Hire Adviser for Possible Sale of Bulgartabak

Source from:  Bloomberg 12/21/2009

Bulgaria plans to hire an adviser for the government's fourth attempt in a decade to sell Bulgartabak Holding, the country's dominant tobacco company. The Privatization Agency will accept bids for the mandate in 40 days, the agency said in an e-mail today. Candidates can be international investment banks with at least one successful sell-off in the past three years, the agency added. The government controls 80 percent of Bulgartabak, which has six units, including four cigarette makers and a trading division. The company sold four of its factories in auctions on the Bulgarian Stock Exchange in the last three years. The government of Prime Minister Boiko Borissov, which took office five months ago, said it wants to sell Bulgartabak in 2010. The adviser hired will recommend whether to sell the company on the stock exchange or through negotiations with potential buyers. Sofia-based investment brokers Euro-Finance and Balkan Consultancy Co. and two law firms were retained from 2006 until May 2009 to advise on the sale and closing of several of Bulgartabak's cigarette factories. Enditem