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SOCAR: Greek government to make its proposal on DESFA privatization by late September

15 September 2016 11:47 (UTC +04:00)

“We are waiting for Greek government’s proposal till September 30. If the changes to tender procedure are contrary to the law, the DESFA privatization will be meaningless. We requested explanation from the Greek government, but no explanation was made”, he said.

On July 31, 2013, the Hellenic Republic Asset Development Fund approved the transaction on purchase of 66% of DESFA shares by SOCAR for €400 mln. In December, 2013, SOCAR and Greece's state privatisation fund and Petroleum companies signed Contract on Shareholders and the Share Purchase Agreement (SPA).

SOCAR purchases 31% share of DESFA from Greek government, 35% from Hellenic Petroleum SA. HRADF will control share package of the DESFA prior to the SOCAR takes over control on it. The delay in privatization is due to the fact that the Directorate-General for Competition of the European Commission is considering the issue on privatization of DESFA. Basing on antimonopoly principles, the Greece government offers SOCAR to sell 17% of its share to the third party.