State puts up large companies for sale

State-owned shares in 57 companies will be auctioned between September 22 and 26. The 85.45% holding in the Central Department Store “Unic”, which is considered an attractive company, will be sold for an initial price of over 306.8 million lei, Info-Prim Neo reports, quoting a communiqué from the Ministry of Economy and Trade. The state will also sell its 59.49% holding in the carpet factory SA “Floare – Carpet”, for 202.8 million lei, SA “Glass Container Company” valued at 158.1 million lei and the shoe factory SA “Zorile”, for an initial price of 86.0 million lei. The other companies that will be sold at outcry auctions late in September are located in Balti, Floresti, Edinet, Soroca, Soldanesti, Falesti, Cahul, Straseni, Leova, Taraclia, Causeni, Glodeni, Sangerei, Calarasi, and Anenii Noi districts and work in such areas as transportation services, primary processing and fermenting of tobacco, pharmaceutics, processing and sale of dairy products. The state has earlier tried to sell some of these companies. Economic analysts say that the attempt to sell small holdings in companies is doomed from the start because the investors usually prefer to buy the major holding in order to control the company.