Romanian Post to be 20% privatized by end September

The Ministry of Communications and Information (MCSI) wants to sell to a strategic investor, by September 30, at least 20 percent of the Romanian Post through a capital increase operation undertaken in partnership with the International Monetary Found (IMF).

Three steps are laid out by the Ministry. The process will begin with a capital increase through private equity, shares will be issued and a consultancy contract for the issuance signed. There will also be a coordinating committee and a a committee for preparation and monitoring of the privatization process, both composed of government officials from various offices, including the Ministry of Finance, the Prime Minister's office and the Property Fund. The Romanian Post will pay all consultancy, legal and advertising expenses related to privatization process. Romanian Post diminished its losses by 85 percent last year, to some EUR 4.3 million. The Romanian Post, which has 35,000 employees, is 75 percent controlled by the Communications Ministry. Fondul Proprietatea investment fund owns 25 percent of the shares. The company has over 5,500 units across Romania and handles 11 million parcels every week. Ioana Toader, ioana.toader@romania-insider.com (photo source: Romanian Post)