The sale of Novi Sad's ZGOP postponed until December 5 – Value of assets estimated at around EUR 3.6 million

The opening of bids for the sale of Novi Sad's enterprise for construction, repair and maintenance of railways, ZGOP, has been postponed for the second time. The new date scheduled is December 5.

The director of the enterprise, Zoran Stanojevic, assumes that this is due to the fact that more potential buyers have appeared and that they need time to prepare the documentation for the public bidding. There won't be any more delays, the director points out, as the Law on Privatization forbids this.

According to the director's findings, when the public invitation was made on September 1, big companies from Russia, China, Austria, France and Turkey were interested in ZGOP.

– Nothing has changed. The public invitation still states that potential buyers are required to have made at least EUR 10 million of income in 2015 in order to be able to take part in the public bidding. The value of ZGOP's assets has been estimated at around EUR 3.6 million, which will be the starting price – Stanojevic says.

As he says, the privatization of ZGOP is necessary for the company to develop and renew its machinery, but also due to the announcement that new railway sections will be built and old ones reconstructed, which is why foreign investors are interested in the first place.

Zgop a.d. Novi Sad

ZGOP

building railways

repairing railways

maintaining railways

Zoran Stanojevic

Law on Privatization

privatization of ZGOP