Tarom estimates its loss will shrink to RON122.3 million in 2012 and to RON60.6 million the next year, according to the company’s revenue and expenditure budget.
Romania plans to sell 20% in Tarom via a public offering on the Bucharest Stock Exchange and estimates it will raise around EUR7.4 million, significantly lower from a minimum of EUR20 million previously envisaged last year.
The government hired a consortium made of Carpatica Invest and Swiss Capital to help with the sale.
Tarom is among the companies monitored by the International Monetary Fund under a EUR3.5 billion precautionary deal signed in 2011. At the latest negotiations with the IMF, the government pledged to sell a minority stake in the company by end-April 2012. (EUR1=RON4.3394)