Government of Montenegro gives up on selling Port of Bar to OT Logistics – Polish company's offer for 30% stock inadequate

The Government of Montenegro announced on Monday, April 24, that it had decided not to sell a 30% stock of the Port of Bar to the Polish company OT Logistics, as it was not satisfied with the bidder's offer.

– The proposed model of privatization is not in Montenegro's interest. After a thorough look into the state, the importance and the perspective of the subject, we decided not to sell the 30% stock, that is, not to have the Port of Bar privatized. Furthermore, Montecargo shares are not to be sold either, as their purchase is conditioned by the purchase of the Port of Bar shares by the buyer – Minister of Transport Osman Nurkovic said at the press conference following the session of the Privatization Council.

The terminated tender was opened last October, and the Polish company was the only bidder.

The state owns a 54% stock in the Port of Bar. The Polish company offered EUR 8.5 million for a 30% stock, as well as a three-year investment plan worth EUR 14 million.

The Privatization Council has, however, decided to not make a deal with OT Logistics, as they believe that the price is too low, that the investments are insufficient and that there's a possibility of the bidder's becoming the owner of the remaining 20% shares in a short period of time, thereby taking over the control over this important state resource, the Government specified.

Serbia previously showed interest in purchasing the Montenegrin port, and investors from China and the Montenegrin company Uniprom, which runs Kombinat Aluminijuma Podgorica, were also mentioned as potential buyers.

Vlada Crne Gore

Luka Bar a.d. Crna Gora

OT Logistics S.A. Poljska

Montecargo ad Podgorica

Ministarstvo pomorstva Crne Gore

Kombinat aluminijuma Podgorica Kap

Uniprom d.o.o. Nikšić

Savet za privatizaciju i kapitalne projekte Crne Gore

Port of Bar

OT Logistics

Montecargo

sale of the Port of Bar

Ministry of Transport of Montenegro

Osman Nurkovic

Uniprom

Kombinat Aluminijuma Podgorica

privatization of the Port of Bar

Privatization Council