Croatia creates new motorway maintenance company, to sell railway firm HZ Cargo.

By bne IntelliNews December 19, 2012
The government in Zagreb plans to merge the Croatian motorway operator (HAC) and the Rijeka-Zagreb motorway operator (ARZ) into a new company, which is expected to become functional as of January 1, 2013, news agency HINA quoted transport minister Sinisa Hajdas Doncic as saying. Croatia also plans to offer for sale up to 75% in rail company HZ Cargo, Doncic added. He said that the new motorway maintenance operator, to be called HAC-ONC, will aim to cut cost of motorway maintenance by 20-30%. The government is expected to decide on the HAC-ONC establishment this week. Regarding HZ Cargo, Doncic said that Croatia will publish this week an invitation for a due diligence review of the company in Financial Times. After that the government will invite non-binding bids for the purchase of the respective stake in HZ Cargo. In the meantime, the current management of the company will continue the ongoing overhaul and agree on severance payments to 800-1,000 workers.

Related Articles

Croatian govt to acquire four companies part of 3.Maj shipyard.

The Croatian government decided on Thursday, March 21, to take over the ownership of all four companies part of local shipyard 3.Maj after which the privatisation of the parent company will be ... more

Croatias Dukat to make takeover bid for Slovenias Ljubljanske Mlekarne.

Croatian dairy producer Dukat said it intends to place a takeover bid for the 49.7% stake it does not yet own in Slovenian peer Ljubljanske Mlekarne. Dukats current stake of 50.3% in the ... more

Croatia's construction output down 2.1% y/y in Jan 2013.

Croatia's construction output fell 2.1% on the year in January 2013 after dropping an annual 19.9% a month earlier, the statistics office said, quoting unadjusted data. Working-day adjusted data, ... more