CCPPAA ttoo aappp­pooi­in­ntt sseec­coon­ndd aad­dvvi­is­soorr ffoorr ppoor­rttss pprri­iv­vaat­ti­is­saat­ti­ioonn

Financial Mirror (Cyprus) - - FRONT PAGE -

Nomura, Bar­clays, Deutsche Bank and Citibank are ex­pected to sub­mit of­fers to un­der­take the fi­nan­cial plan for the pri­vati­sa­tion of Li­mas­sol port, part of a pub­lic sell­off plan that should earn the state some 1.4 bln eu­ros.

Cyprus Ports Au­thor­ity Chair­man Ale­cos Michaelides said that the four fi­nan­cial con­sul­tants will pre­pare the ten­der doc­u­ments and seek in­vestors af­ter ad­vi­sors KPMG con­clude their in­ven­tory of the port’s as­sets and de­cide which ser­vices are most suited for full or part pri­vati­sa­tion.

Michaelides said that the Au­thor­ity de­cided to ap­point two con­sult­ing firms on the pri­vati­sa­tion of the Li­mas­sol port’s com­mer­cial ac­tiv­i­ties, the first spe­cialises on port op­er­a­tions and will as­cer­tain which ac­tiv­i­ties are to be pri­va­tised and the sec­ond, a fi­nan­cial firm will pre­pare the nec­es­sary doc­u­ments and the terms of the ten­der.

“Along with KPMG there will be another firm with ex­pe­ri­ence on ports pri­vati­sa­tion and will dis­cuss which parts of the Li­mas­sol port will be pri­va­tised,” he said.

The CPA has al­ready be­gun as­sess­ing ini­tial of­fers on the sec­ond fi­nan­cial con­sult­ing firm. “Soon we will pro­ceed with the ten­der to se­lect the firm in Oc­to­ber,” Michaelides added.

He said that Nomura, Bar­clays, Deutsche Bank and Citibank “are mostly fi­nan­cial con­sult­ing firms which will pre­pare the doc­u­ments, the fi­nal terms of the ten­der, and as­sess the var­i­ous op­tions pro­posed by the first firm on what is to be pri­va­tised.”

Michaelides said the pri­vati­sa­tion process is ex­pected to be con­cluded by mid-2015, but the CPA will re­main a pub­lic or­gan­i­sa­tion for the su­per­vi­sion and reg­u­la­tion of the ports.

A pri­vati­sa­tion plan ap­proved by the Coun­cil of Min­is­ters last year stip­u­lates that com­mer­cial ac­tiv­i­ties at Li­mas­sol port, load­ing and un­load­ing con­tain­ers, tran­sit point will be pri­va­tised on the ba­sis of a long-term li­cense to a suit­able port op­er­a­tor.

The op­er­a­tor will be se­lected af­ter an in­ter­na­tional ten­der by De­cem­ber 31, 2015.

The govern­ment ap­proved the fi­nal­i­sa­tion plan as part of a set of fis­cal con­sol­i­da­tion mea­sures in­cluded in the terms of the EUR 10 bln bailout Cyprus agreed with its in­ter­na­tional lenders in March last year. The plan cov­ers the pri­vati­sa­tion of Cyprus Telecom­mu­ni­ca­tions Au­thor­ity and the CPA by end 2015, and the Elec­tric­ity Au­thor­ity of Cyprus by Septem­ber 2017. Cyprus needs to se­cure pro­ceeds of 1 bln by 2016 and an ad­di­tional 0.4 bln by 2018.

Newspapers in English

Newspapers from Cyprus

© PressReader. All rights reserved.