Azerbaijan attracts consultant to privatize major bank

Azerbaijani  State Property Committee has announced an open tender to attract consultancy services in privatizing and reducing state-owned share in the capital of International Bank of Azerbaijan (IBA), the State Committee said.

The major requirements for tender participants are submitting proposals to increase competitiveness and determining the development perspectives of the bank, analyzing the the country's banking sector, the analysis of the law on banking activity and if necessary, submitting proposals on making amendments and additions in the current law in the process of privatization and denationalization of the bank.

The consultant's task also includes evolution of the financial and economic activity of the bank in accordance with international norms and standards for closest accounting period to the sale date. The consultative services shall be provided in two phases and providing the above-mentioned services will be required at both phases.

Within the first phase the consultant shall provide the fulfillment of the following work: to submit proposals on privatizing and reducing state-owned share in the bank's authorized capital by additional issue of shares, as well as grounded recommendations on the sale price and sale terms of the shares of the bank.

Within the second phase the consultant shall provide the fulfillment of the following work: to provide grounded recommendations n the sale price and sale terms of the state-owned shares of the bank, to attract potential buyers meeting Azerbaijan’s interests, to the privatization of the bank, the implementation of necessary work associated with the process depending on the method of privatization, including the preparation of memorandums and other relative documents.

While evaluating the proposals the priority will be given to the following criteria: value of services to be provided, previous experience and success, the proposed working plan and methods for its implementation, the specialization of the working group, its experience and authorities.

Those interested in participating in the tender shall submit the application for participation at the tender, bank document certifying the payment of participation fee, the tender bid, full name, address, legal status, country of state registration and banking details, major activity place, bank guarantee, a reference on the balance indicators for the last year of activity.

The banks guarantee of the tender bid shall not be less than two percent of the tender value. Cost of tender participation is 5,000 manat. Proposals will be reviewed by the competition commission in the building of the State Committee.

IBA has ended last year with assets at 5 527.92 million manat, which is 8.99% more than the same figure of 2009.

IBA’s main shareholder is the Azerbaijani government, which owns 50.2% of shares, 49.8% of shares is owned by private physical and legal entities (including banks).


/Trend/