Electroputere preparing for GM

Electroputere Craiova, a producer of electrical engines, generators and transfomers should be split, as this may be the only way for at least part of the company to be privatised this year. “A new procedure for the sale of the company is envisioned, in line with current market conditions,” Petru Sabaila, chairman of the company’s board, told Ziarul Financiar. Company sources are talking about a possible split of Electroputere and subsequent separate privatisation of the resulting companies. US company General Motors in mid-August submitted a letter of intent for the takeover of the company’s locomotives unit. Yet, the letter could not be taken into consideration since the privatisation task-book stipulated the sale of the company as a whole. The deadline for bid submitting is August 27, but no other investors have surfaced so far. Electroputere managed to derive H1 profit worth 5 billion ROL, as compared to losses of 65 billion ROL posted in the year-ago period. ZF