“We received only one bid, which was too expensive and it also didn’t comply with our requirements,” minister Anca Boagiu said Friday.
The auction will be resumed shortly, Boagiu said. She added the broker for Tarom’s IPO will be selected by year-end.
The Romanian government approved in August the sale of a minority stake in the airline via an initial public offering on the Bucharest Stock Exchange and mandated the Transport Ministry to start the procedures.
A consortium made of brokerage house Carpatica Invest and Swiss Capital submitted the only offer to help with Tarom’s IPO.
Tarom is one of the companies monitored by the International Monetary Fund under a EUR3.5 billion precautionary deal signed earlier this year.
The company reported a loss of 332.5 million lei (EUR76.7 million) in 2010, wider from RON235 million a year earlier.