Electrica to be sold on the stock exchange, according to the privatization strategy published in the Official Gazette

Electrica SA, the last electricity distribution and supply company owned by the state, will be privatized by public offering, after a share capital increase, according to the privatization strategy published in the Official Gazette of Romania. The company’s share capital will be supplemented by issuing a number of shares representing 105% compared with the existing share capital. All the shares issued by this operation will be offered for sale, through an IPO, through methods specific to the capital market. A broker will be hired by Electrica to intermediate the sale of the share package. The sale price of the newly issued shares will be determined following a mechanism approved by the National Securities Commission, after assessing the company, but it cannot be lower than the face value of the newly issued shares. The privatization committee consists of seven members and is led by Minister for energy or by a secretary of state appointed by the Economy Minister. Electrica SA includes the three regional electricity distribution and supply companies, out of eight existing in Romania, which haven’t been sold yet: Muntenia Nord, Transilvania Sud and Transilvania Nord. Electrica group also owns three service subsidiaries and five maintenance and energy services subsidiaries, one for each geographic region, served by a private distribution and supply company.