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Serbia Sells Energoprojekt Stake, Raises Questions on Asset Management
๐Ÿ‡ท๐Ÿ‡ธ Serbia /Economy & Trade

Serbia Sells Energoprojekt Stake, Raises Questions on Asset Management

From N1 Serbia · () Serbian

Translated from Serbian, summarized and contextualized by DistantNews.

At a glance

Analysis Sources not specified Context piece
  • Serbia's state sold a 34.6% stake in Energoprojekt to Napred razvoj for approximately 14 million euros, effectively transferring control of the construction company.
  • The sale, at 452.2 dinars per share, has led to Napred and associated companies holding 90.2% of Energoprojekt, likely resulting in a forced buyout of minority shareholders and delisting from the stock exchange.
  • The article also touches on the state's efforts to increase its stake in NIS (Naftna Industrija Srbije) while divesting from Energoprojekt, and mentions energy expert Davor ล tern's views on US policy regarding energy sector negotiations.

Serbia's state has divested a significant portion of its ownership in the construction giant Energoprojekt, selling a 34.6% stake to Napred razvoj for nearly 14 million euros.

The transaction, which saw the state sell 3,748,879 shares at 452.2 dinars each, consolidates control of Energoprojekt under Napred and its affiliated companies, Montinvest and Jopag. Together, they now hold 90.2% of the company's shares. This move is widely expected to trigger a forced buyout of remaining minority shareholders and lead to Energoprojekt's delisting from the stock exchange.

This divestment from Energoprojekt contrasts with the state's recent efforts to secure a larger stake in the oil industry company NIS (Naftna Industrija Srbije). The sale of Energoprojekt shares, described by some as "cheaply" done, has raised questions about the state's asset management strategy.

If you look at the economic news from equally warm summer days last year, there is little doubt that the unused potential of the construction plot in New Belgrade's Block 26 will be activated very soon.

โ€” Forbes SerbiaReferencing past developments concerning Energoprojekt's assets.

Energoprojekt's assets, particularly a construction plot in New Belgrade's Block 26, have been a point of interest. A previous attempt two decades ago to transfer ownership rights for this land to Trinity capital, linked to Jopag, did not pass shareholder approval due to a lack of quorum. However, with the new ownership structure, such transfers may now proceed without shareholder consent.

The article also briefly references energy expert Davor ล tern's perspective on U.S. policy, suggesting that extended negotiation deadlines in the energy sector reflect global instability and a "wait-and-see" approach. ล tern, who has experience negotiating with MOL, believes that short, repeated extensions indicate an expectation that circumstances might change favorably within those periods.

Maybe in two weeks something will happen that we don't know now. Maybe the circumstances will be different in two weeks.

โ€” Davor ล ternExplaining the rationale behind extended negotiation deadlines in the energy sector.
DistantNews Editorial

Originally published by N1 Serbia in Serbian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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