BULYARD TO ENTER VARNA SHIPYARD IN JANUARY
Navigation Maritime Bulgare (Navibulgar) and the Bulyard consortium signed on Wednesday (December 10) a contract for setting up a joing venture (JV) with the assets of the Varna Shipyard. The contract was approved also by Navibulgar's Board of Directors. Under the contract, Navibulgar will raise the JV's capital by transferring to it the shipyard's assets. After that operation, Navibulgar will sell to Bulyard 75% of its shares in the new company. The price of USD16,666,000 by which the company won the bidding for the Varna Shipyard, will be entirely paid by Bulyard. This is expected to happen in January 2004. Until then the experts, appointed by the Varna Regional Court, should evaluate the shipyard's assets. On November 19 Navibulgar filed to the Varna District Court a claim for evaluation of the assets of the Varna Shipyard, that would be Navibulgar's contribution to the JV. The same week Bulyard submitted to the Sofia City Court the necessary documents for reregistration of the civil association as a joint-stock company. In the beginning of last month Bulyard remitted USD1MN to Navibulgar in advance as a guarantee of the deal. In end-October the consortium including the Bulgaria Industrial Holding, Electromachinery Holding, the Odessos dockyard, and Bulcom, won the procedure for setting up a JV for the management of the shipyard's assets by offering the highest price for the 75% stake. Navibulgar's partner also undertook to invest USD17.7MN in the enterprise within three years after acquiring the shares.