State to acquire 66-percent stake in Simpo? - Government converts debt to equity

(Photo: simpo.rs)

Over the next few days the Serbian government should adopt a decision to convert Simpo's tax debts in the amount of RSD 6 billion to an ownership stake to be held by the state, Blic reports.

The state is already the largest individual shareholder of this company with its stake amounting to about 29 percent, but the rest of shares is in the possession of minor shareholders and private investors. Considering that Simpo shares are traded on the stock exchange, it is easy to calculate that its market value does not exceed RSD 110 million.

However, the government has decided to make it possible for this company to continue to operate, that is, to remain one of the largest employers in the south of Serbia with its 4,500 employees, Blic cites its source as claiming.