Distrigaz bids exceed Ministry expectations

The value of the financial bids submitted by investors for the takeover of the two gas distribution companies have exceeded the expectations of the Economy and Trade Ministry, according to minister Dan Ioan Popescu, speaking on Tuesday in Braila, quoted by Mediafax news agency. “All bids have been above what we had expected, and those filed by Gaz de France and Ruhrgas, the companies that have been selected for direct negotiations, have been very solid from a financial point of view,” said Dan Ioan Popescu. He declined to specify the value of bids. The French company has been selected to enter talks for the takeover of 51% of the stock of Distrigaz Sud, while the Germans at Ruhrgas will negotiate the takeover of the majority stake in Distrigaz Nord. According to sources close to the privatisation process, bids forwarded by Gaz de France (France), Ruhrgas (Germany) and Enel (Italy) were worth between 100 and 150 million dollars, while the bid from the Russians at Gazprom for Distrigaz Sud was below such values. Gazprom did, however, include a long-term gas delivery contract. ZF