According to the relevant privatization programs, the State Assets Management Agency on the results of privatization of 50.0% state share in the authorized capital of LLC JV "Uz-Dongju Paint Company" (hereinafter - the Enterprise), through a public invitation to negotiations with the attraction of a professional consultant reports that LLC "COMFORT ENGINEERING GROUP" (hereinafter - Buyer) is recognized as the winner of the negotiations with a purchase price of 24 billion UZS, investment commitments in the amount of 5 million USD and the creation of 200 new jobs.
The international companies Resolut and Dentons (hereinafter - Consultant) were engaged as a privatisation consultant in this process.
As part of the privatisation process, the Consultant carried out extensive marketing activities both locally and internationally, including sending investment teasers to investors (Investor sounding), involving the Consultant's wide network of investors.
As a result, the Consultant received 8 Expressions of Interest from investors.
The applications received were reviewed to ensure that there were no insolvencies, administrative, arbitration or other legal proceedings that could prohibit the applicants from participating in the privatisation process and that they were not included in the sanctions list of the European Union, USA and major international financial institutions.
Further, 4 applicants were invited to the next stage of the privatisation process - submission of Binding Offers (BO). At this stage, the applicants were signed a Non-Disclosure Agreement (NDA) and given the opportunity to review the comprehensive due diligence reports on the financial, tax, legal and environmental activities of the Enterprise prepared by the Consultant and placed in the Virtual Data Room (VDR). At the same time, all applicants were given the opportunity to organise meetings with the management of the Company and to familiarise themselves with the activities of the Company.
It should be noted that LLC "COMFORT ENGINEERING GROUP", capable of ensuring the stable development of the company's activities in the future and having the potential to form full production cycles, fully complied with the established requirements and expressed the highest price offer among all those received.
At the same time, the Buyer's offer is at the upper limit of the indicative price range of the Company, calculated by an international consultant, and exceeds the estimated value of the Company.
Besides, the Buyer, apart from maintaining the type of business activity of the Enterprise, accepted obligations to ensure compliance of its manufactured products for the domestic automotive industry with the standards of "General Motors" and OEM requirements, continuing its business in close cooperation with JSC "Uzavtosanoat".
The results of the privatisation of the Company were approved by the relevant decision of the State Commission for Privatisation of State Assets and Coordination of Privatisation Processes.
For reference: LLC "COMFORT ENGINEERING GROUP" - was established in 2009 and has a long-term experience in supplying spare parts for automotive industry and production of auxiliary parts.
