VARNA SHIPYARD WITH A NEW MANAGER AT LAST
The new manager of the Varna Shipyard's assets - Bulyard-Shipbuilding Industry - was at last included in the Commercial Register. Its equity capital of BGN21.9MN is almost entirely owned by Navigation Maritime Bulgare (Navibulgar). The contract for the establishment of the joint-venture between Navibulgar and Bulyard was signed on December 10, 2003. Under it Navigation Maritime Bulgare had to transfer a 75-percent stake in the new company to Bulyard against USD16.66MN. In the beginning of February, USD1MN was remitted by Navibulgar's partner as a guarantee for its trustworthiness, and the balance was deposited into a bank account of Navigation Maritime Bulgare. Zlatko Bakalov will be Executive Director of the newly established company and Plamen Dionisiev will chair the Management Board. In October 2003 the Bulyard consortium (including the Odessos dockyard, Bulgaria Industrial Holding, Electromachinery Holding, and Bulcom) won the procedure for setting up a JV with Navibulgar for the management of the bankrupt Varna Shipyard's assets. It won the bidding by offering the highest price - USD16,666,000 for 75% of the new company's shares. It also undertook to invest USD17.7MN in the shipyard within three years. Tsakos Bulgaria Holding (which offered to pay USD15.6MN) remained second in the tender. After dropping out from the competition, it filed two claims to the Supreme Administrative Court, litigating the establishment of Bulyard-Shipbuilding Industry. However, the magistrates did not consider these two claims as they found them procedurally inadmissible.