Ethiopia to Privatize Six Enterprises

Wednesday, 27 June 2012 Ethiopia is set to privatize six enterprises through auction as the financial year winds down. Ghion Hotel and Awash Winery are expected to be part of the six according to sources.

The minimum price set for Ghion Hotel is expected to be between 100 and 150 million US dollars whereas the indicative price for Awash Winery will be set at 438 million birr according to unofficial sources.

This was not confirmed by Wondafrash Assefa, Director of Corporate Communications for the Privatization and Public Enterprises Supervising Agency.

Other bids include the office of Limu Coffee Plantation Development Enterprise, Engineering Enterprise, Construction Works & Coffee Technology Development and Batu Construction plc.

This will be the third tender issued by the PPESA this fiscal year with nine offers approved in previous bids while other enterprises failed to attract the appropriate amount of interest.

The current tender will include some of the companies that failed to attract attention in the previous lots to help the Agency reach the targets it had set for this financial year. The bid opening date set for this lot, 8th of August however will mean that transfer will occur in the next fiscal year show deals be struck on the current tender.

PPESA had planned to float to additional tender before the end of the current financial year but was only able to execute one due to time constraints explained Wondafrash.

Source: Capital