In May will be known the owner of Azerboru

The State Property Committee has announced an investment competition for sale of 97.39% of shares of Azerboru. Advance can be assumed that the winner will be Baku Steel Company, which is on 8-9 April this year entered into agreements with foreign companies on the organization of production at the plant of 1.8 million tons per year.

In the competitive ad SPC states that applicants must submit an investment program for the organization at the enterprise pipes that meet international standards, with the introduction of modern technologies and the creation of new jobs. In addition, for the acquisition of shares of Azerboru applicants must submit a proposal for the transfer to the state budget not less than AZN 14 mln in 240 days.

The winner must pay within 120 days wage arrears and similar employee benefits for a total of 390 thousand manats.

As of the 1st of March this year, the creditor debts of Azerboru were 31.5 million manat, of which 8.9 million manat falls to the share of the company provided goods and services. The enterprise owes AZN 1.6 million.

It is noteworthy that the shares of Azerboru were sold in 2003 to the British company Targol Investment with the condition of investing $ 50 million two years later, but the contract was terminated because of default.

In December last year SPC announced a tender for a consultant for the privatization of Azerboru. The tender results were not made public. Most likely, it will not happen.

JSC Azerboru was established on the basis of Sumgait Pipe Plant in the early 2000s.

The company with a capacity of 700 thousand tons of steel pipes per year has been effective from 1949. On the areas and the number of workers it was the largest in the country during the Soviet period. Today the company has 1,354 people on the list. - 08B