Serbia: Power utility EPS prepares for joint stock transformation and shares transition in 2016

, News Serbia Energy

Legal transformation of state owned power utility company EPS (Elektroprivreda Srbije) is planed to complete in 2016 which will enable EPS to become a joint stock company. Around 4.8 million citizens of Serbia are entitled to get free shares by 125 EUR from EPS shares next year.

– The idea is that we have EPS as a joint stock company next year. From that moment we could think about a possible strategic partnership or other partnerships – recently said Economy Minister Zeljko Sertic.

This move is a requirement that citizens receive free shares of that company. What will be their value and how many shares will get each of us it will depend on the value of the “Electric Power Industry of Serbia”, whose assessment is ongoing. On the hand also goes the fact that the EPS regionally well-positioned companies and that compared with other public systems progressed in reforms.

In the brokerage house “Sinteza invest grupa” estimate that in the optimistic scenario EPS is worth about four billion EUR.

– 15 percent of EPS or 600 MEUR of the total go to the citizens. Everyone would individually receive about 125 EUR- said main broker in “Sinteza” Miroslav Radakovic. He, however, added that EPS estimate was pretty ungrateful.

– Business revenues for 2013th were around two billion EUR, which was an increase of about 24 percent from a year earlier. For 2014th we expect slower growth rate due to the May floods. Nonetheless, we can expect significant price increase in 2015th. This would increase the value of EPS – said Radakovic.