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CEZ in talks with Inercom over potential Bulgarian state participation in assets sale

12 March 2018
Electricity
energynomics

Czech energy group CEZ said on Wednesday that options for the Bulgarian state to enter the deal for the sale of the group’s assets in Bulgaria are on the agenda of its meeting with representatives of their buyer – private Bulgarian company Inercom.

Representatives of Inercom, including its owner Ginka Varbakova, arrived in Prague on Tuesday for a planned meeting with CEZ officials, Alice Horakova, CEZ press officer, told SeeNews in an e-mailed statement.

“The agenda of the meeting, which was arranged already during the signing of the contract, is, firstly, preparation of documents necessary to apply for approval of the transaction to the Bulgarian anti-monopoly office and, secondly, official inquiry of Inercom whether and how the Bulgarian state could enter into the sales process,” Horakova said in the statement.

The meetings are expected to continue until the end of the week, Horakova added.

CEZ Group said last month it signed a contract for the sale of its assets in Bulgaria with Sofia-based Inercom for an undisclosed sum after the group’s supervisory board granted consent to the transaction.

Bulgaria’s finance minister Vladislav Goranov said that the government is willing to acquire a controlling stake in CEZ’s assets in the country, which the Czech energy group had decided to sell to Inercom. Also last week, Varbakova said after a meeting with Bulgarian prime minister Boyko Borissov that her company is willing to agree on participation of the state in the deal.

The deal for the sale comprises seven companies – power distributor CEZ Razpredelenie [BUL:3CZ], power supplier CEZ Electro Bulgaria [BUL:1CZ], licensed electricity trader CEZ Trade Bulgaria, IT services company CEZ ICT Bulgaria, solar park Free Energy Project Oreshetz, biomass-fired power plant Bara Group and CEZ Bulgaria, which manages and coordinates the operations of the group’s Bulgarian units.

Inercom manages seven solar parks in southern Bulgaria with a total capacity of over 100 MW.

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