Last week, the strategy was discussed at first reading, awaiting the approval of the Economic and Social Council.
CFR Marfa registers debts of over 1.8 billion lei (EUR0.41 billion), of which some RON600 million to the state budget and RON600 million to CFR Infrastructura. The remainder represents overdue debt penalties and debts to private service suppliers.
According to the strategy, Romania’s government will sell a majority stake in the company, including the stake resulted from the conversion into shares of the company’s debts, through preliminary bidding negotiations followed by a sealed-bid auction.
The auction participation guarantee is the equivalent in lei of EUR10 million, or 17% of the face value of the shares owned by the state, and the participation fee is the equivalent in lei of EUR20,000, reads the document.
Romania has pledged to sell a majority stake in CFR Marfa by mid-May, with the deal to be complete once “all conditions in the sale-purchase agreement are satisfied,” according to the country’s latest letter of intent to an international loan program.
The Transport Ministry expects to raise at least 268.75 million lei (EUR61.5 million) through the sale of a majority stake (51%) in CFR Marfa, and the sum does not include privatization costs estimated at RON22 million this year. (EUR1=RON4.387)