Serbia: EBRD eyes partial ownership in energy company EPS

Published on 11. May 2015., News Serbia Energy

European Bank for Reconstruction and Development is willing to assist the EPS restructuring, but as one of the requirements mentioned in the agreement is entering a strategic partner in the state company by the end of next year.

EBRD asked the sale of a fifth of the company’ capital, but it will still consider such a request and that the Government will bring final decision.

In EPS report that they will continue to work on this agreement: “Credit Agreement with EBRD, which guarantees the Republic of Serbia, is not complete and provisions of this agreement are not defined. The owner, namely the Government of Serbia, brings decision whether and in what way will alter the EPS ownership structure”, assessed in EPS.

Director of the EBRD office in Belgrade Mateo Patrone has recently said that the bank was “very engaged in the process of EPS restructuring”, and that a loan of 200 MEUR will be approved to the company for that purpose in the autumn.

In February this year, the Ministry of Energy has announced it has started evaluation of all assets of that energy giant in order to create the conditions for EPS to look for a strategic partner. On the other hand, Prime Minister Aleksandar Vucic has recently announced that EPS will not be privatized, but that this public company is trying to buy the electric power industries in Republika Srpska and Montenegro.