Bulgaria’s Navibulgare sold to KG Maritime

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

17 May 2008

Bulgaria's Cabinet approved on May 15 the sale of 70 per cent in state shipping company Navigation Maritime Bulgaria (Navibulgare) to the KG Maritime Shipping consortium. The privatisation contract has to be signed within 60 days, the Government press service said in a statement. KG Maritime Shipping, a link-up between German and Bulgarian company, was the only bidder in the privatisation tender, submitting an offer of 440.1 million leva for the majority stake. It also pledged to invest 779.9 million leva over the next 10 years, including in the acquisition of 25 new ships, which would allow it to replace some of Navibulgare's current fleet.
The consortium will have to maintain a minimum number of sailors on payroll through that period and hike wages by at least 15 per cent.
KG Maritime Shipping put in the only valid bid for the shipping companies, although 24 parties bought tender documentation last year.
German-registered KG Maritime Partners, owned by Duesseldorf-based Martrade Transport&Shipping GmbH and Mumbay-based Accord Ship Management (Pvt) Ltd, holds 70 per cent in the consortium, Dnevnik daily said. The remainder is owned by Bulgarian firm Advance Properties Sofia, controlled by the brothers Kiril and Georgi Domuschievi, according to the daily.

Source: Sofia Echo