Two Tabacco Factories In Bulgaria On Sale
Bulgarian state decided to sell two factories on the Bulgarian Stock Exchange, local Economy and Energy Minister Petar Dimitrov announced this week.
The mills located in Plovdiv and Stara Zagora (South Bulgaria), are owned by Bulgaria's former tobacco monopolist Bulgartabac.
We want the privatisation to be done through the stock market, because that would be the most transparent way, Minister Dimitrov explained, quoted by sofiaecho.com.
The sale would impose many discharges of staff, but the dismissed employees will receive severance payments between 30,000 - 36,000 BGN (15,000-18,000 EUR).
The media reminds that in February, Bulgartabac's managing board placed their proposal to strip the two plants of their licences to make cigarettes under Bulgartabac proprietary brands, but would be allowed to keep their general tobacco production licences.
Several months ago local Government decided to sell Bulgartabac to a strategic investor.
Soon after the summit the possible bankruptcy of the factories in Plovdiv and Stara Zagora became publicly known.
British American Tobacco was one of the potential buyers during the last privatisation procedure for the four Bulgartabac cigarette factories, but the deal never materialised.