Consequences of Petrochemical Industry Privatization

As part of the country’s privatization programs, 100% of the shares of Saratel Iran Construction and Installation Company were transferred. This company, established in 1977, is wholly owned by the Islamic Republic of Iran Broadcasting (IRIB) and operates in the fields of design, supervision, consulting services, and execution of all civil and building installation projects and maintenance.
The Privatization Organization offered 100% of the shares of Saratel Iran Construction and Installation Company through two rounds of public auction announcements, published in widely circulated newspapers on December 20, 2023 (1402/09/29) and August 27, 2023 (1402/06/10), at a base price of 368,575,005,000 IRR. The sale conditions included a 50% cash payment and the remaining amount in installments over a two-year period, with semiannual payments and an annual installment interest rate of 23%.
The shares were offered in accordance with the Executive Instruction on the Selection Method for Strategic Buyers and the assessment and monitoring of managerial competence in privatizations. Based on this framework, the qualification of the sole bidder participating in the auction was evaluated by the committee responsible for reviewing general and specialized qualifications. Following the confirmation of the bidder’s qualifications, the Bid Evaluation Commission opened the bid envelope. Consequently, Omran Pars Ayandeh Investment Company was announced as the auction winner, having submitted a bid equal to the base price.
According to the auction terms, the buyer must finalize the transaction by paying the cash portion and submitting the required documentation within 20 working days from the auction date in order to conclude the contract.
Comments
Your Comments
Comments