Date Target Vendor Investor Size Comment
August 23 Investment on the Bulgarian Stock Exchange (Jan-Jun 2005) The Bulgarian Stock Exchange Bulgaria's pension insurance companies EUR 56 mln The pension funds of Doverie, ING and DZI are the most active equity buyers.
August 23 Upgrade of street lighting Siemens Bulgaria Sliven Municipality EUR 3.3 mln Siemens won the 20-year contract.
August 23 Fund raised capital Elana capital Elana Agricultural Land Fund 17,472,476 new shares Nominal value of 1 lev and issue price of 1.20 levs each. The minimum success target for the issue is 5 mln shares.
August 19 Purchase of 11 plots of agricultural land Dobrich region, North-eastern Bulgaria Special Purpose Vehicle Real Estate Bulgaria Fund N/A Villages of Nova Kemnna, Voinishko, Zimnitsa and Bistrets, plots have a combined area of 18.70 ha and will be leased to farmers.
August 19 Construction of a second plant Town of Stara Zagora, South-eastern Bulgaria Meat processor Rokar (Bulgaria) EUR 3 mln The plant will be covering 2,700 sq m and will have a capacity of 10 tons per shift.
August 19 Raised capital Shumen-based aluminium producer Alcomet Alcomet 13,465,446 new shares Alcomet(74.6%-owned by Turkey's Alumetal)investments for the past four years add up to $33 mln.
August 18 Water entertainment park Blagoevgrad Municipality Aqua Park EUR 7.5 mln The whole development should be completed within 5 years.
August 17 A new Eastern European fund Emerging Еastern Europe and Baltic states economies Australian boutique funds manager Quintessential Wealth Ltd's (QWL) N/A Quintessential is targeting sophisticated investors who will invest a minimum $250,000.
Deals, contracts, tenders and outsourcing for a total value of more than BGN 2 mln. and projects of strategic interest to Bulgaria
With the contribution of SeeNews (published by AII Data Processing Ltd) and Rivas
GOVERNMENT AND EU | REAL ESTATE AND FINANCE | EU TOPICS
Date Subject Institution Comment
August 23 Firms in high unemployment areas to retain EUR 14 mln in profit tax Tax Directorate General In 2003 the ammount was EUR 5 mln.
August 23 Contracted advisor for the shutdown of the landfill in Rousse: Halcrow, British infrastructure development company Media Project costs EUR 20 mln and is financed by EU's ISPA program that will also fund 75% of the EUR 7.3 mln cost of the new municipal landfill to be in operation by end-'05.
August 23 Wind farm projects tabled by investors Universum Energy, Inos 1 and Vertical Petkov & sie. authorised by local government Media Wind farms will be built arround Varna and Kavarna.
August 22 The Rousse shipyard, owned by Rousse Shipyard Beteiligungsgeselschaft GmbH, is developing an 8-ton dry cargo vessel Rousse shipyard Client is Germany's Briese Schiffarts GmbH
August 22 Tender for five, 10-year, nationwide licences for point-to-multipoint wireless broadband services Bulgaria's telecoms regulator CRC Strong interest as potential bidders bought 33 packs of tender documentation
August 22 Public tender to convert Simitli, Razgrad barracks into business centers Bulgaria's regional authority The Razgrad project has been allocated EUR 1.9 mln with a further EUR 1.7 mln earmarked for the Simitli project.
August 19 Bulgarian steam-heating utility Toplofikatsia - Pleven invites international majors to deliver a co-generation unit Toplofikatsia - Pleven Project worth around EUR 15 mln
August 18 Bulgaria's first mutual funds licensed Bulgarian financial regulator TBI Dynamic, DSK Standard and Sentinel Principal.
August 18 Bulgaria's insurance market grew by 41% year-on-year in the first half of 2005 Financial Regulator Premium income from life insurance policies rose 50% to EUR 31.1 mln in the first half of 2005.
August 17 Fitch ratings upgrades Bulgaria's foreign currency rating to BBB Fitch ratings The ratings agency cited the country's strengthening fiscal position and falling government debt. It also upgraded Bulgaria's local currency rating to 'BBB+' from 'BBB' and said the outlook was stable.
August 17 Strategic EU investors are scouting for locations in Sofia area for the construction of satellite residential communities imoti.bg Bankia and Bozhurishte top the wishlist of the developers due to their proximity to the Sofia downtown and the good road infrastructure.
News and events important for investors related to the Bulgarian legislation, government and EU policy, financial and real estate sectors.
With the contribution of SeeNews (published by AII Data Processing Ltd) and Rivas

Global Steel, India, Kremikovtzi Acquisition

Deal: 71% stake in capital Sofia-based metallurgical plant Kremikovtzi, finalized August 15, 2005 at undisclosed price
Vendor: Kremikovtzi's majority owner Finmetals Holding, Bulgaria
Acquirer: India's Global Steel Holdings Ltd (GSHL), controlled by the Mittal family
Comments:
• GSHL has borrowed $150 mln to part finance its purchase from steel traders including the U.K.'s Stemcor, Austria's voestalpine Industries and Germany's Selzgitter at an annual interest of 8%. Merrill Lynch & Co., the U.S.- based Tudor Fund, Goldman Sachs Group Inc. and Cheney Cap arranged the loan
• Kremikovtzi’s plant has liabilities to the state railways and the National Electricity Transmission Company, estimated at around $200-300 mln
• GSHL intends to pump $300 mln into Kremikovtzi over the next 3 years, boosting output capacity and aligning production to EU environmental standards.
Showcase of important issues, deals, and events.
With the contribution of Rivas
August 24, 2005