Serbian grid operator acquires 10% of Montenegro’s CGES

By bne IntelliNews January 3, 2016

Serbia’s public power grid operator Elektromreza Srbije (EMS) has acquired a 10% stake in Montenegro’s transmission system operator Crnogorski Elektroprenosni Sistem (CGES).

Serbia’s energy minister Aleksandar Antic stressed the economic and strategic importance of the transaction, according to news agency Beta. As well as potentially increasing EMS’s profits, it will also increase cooperation with neighboring countries at a time when countries across Southeast Europe are looking to improve inter-connections.

EMS announced on December 29, it had bought 14.568.335 shares for €13.84mn and thus obtained a seat on CGES’ board of directors.

EMS said in a press release that by buying into Montenegro’s transmission system, Serbia’s position strengthens in terms of electricity trading, and is also in a better position if it needs urgent electricity supplies.

“This purchase is important, also, because EMS has started construction of Trans Balkan Power Corridor which goes through Montenegro and furthermore to Italy via submarine cable and thus brings a huge migration of energy from north to south-west,” EMS’s general director Nikola Petrovic said.

The Trans-Balkan Power Corridor connects the electricity transmission systems of Serbia, Montenegro, Bosnia and Herzegovina to Croatia, Hungary, Romania and Italy through either 400kV overhead lines or submarine cable. In early 2015 Serbia’s EMS has started construction of the corridor.

The Montenegrin government owns 55% of CGES, Italy’s Terna has a 22% stake and the remainder belongs to smaller shareholders, mainly local investment funds.

Related Articles

Montenegro’s PM confirms readiness to join Nato - despite shove from Trump at alliance summit

Montenegro’s Prime Minister Dusko Markovic said on May 25 that the Adriatic country is fully prepared to ... more

Ex-Montenegrin President Marovic missing after receiving prison sentence

Montenegro’s court issued an arrest warrant on May 12 for former President Svetozar Marovic who has not been found in his hometown and has not ... more

Adriatic ports hit by Venice tourist clampdown

The number of cruise ships visiting Dubrovnik and other Croatian ports is set to fall dramatically in 2017, a new report presented at the Adriatic Sea Forum has revealed.  As the historic ... more

Register here to continue reading this article and 2 more for free or purchase 12 months full website access including the bne Magazine for just $119/year.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

Thank you. Please complete your registration by confirming your email address.
A confirmation email has been sent to the email address you provided.

To continue viewing our content you need to complete the registration process.

Please look for an email that was sent to with the subject line "Confirmation bne IntelliNews access". This email will have instructions on how to complete registration process. Please check in your "Junk" folder in case this communication was misdirected in your email system.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

If you have any questions please contact us at sales@intellinews.com

Subscribe to bne IntelliNews website and magazine

Subscribe to bne IntelliNews website and monthly magazine, the leading source of business, economic and financial news and commentary in emerging markets.

Your subscription includes:
  • Full access to the bne content daily news and features on the website
  • Newsletters direct to your mailbox
  • Print and digital subscription to the monthly bne magazine
  • Digital subscription to the weekly bne newspaper

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

bne IntelliNews
$119 per year

All prices are in US dollars net of applicable taxes.

If you have any questions please contact us at sales@intellinews.com

Register for free to read bne IntelliNews Magazine. You'll receive a free digital subscription.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

Thank you. Please complete your registration by confirming your email address.
A confirmation email has been sent to the email address you provided.

IntelliNews Pro offers daily news updates delivered to your inbox and in-depth data reports.
Get the emerging markets newswire that financial professionals trust.

"No day starts for my team without IntelliNews Pro" — UBS

Thank-you for requesting an IntelliNews Pro trial. Our team will be in contact with you shortly.

Dismiss