Czechs Want to Buy Out Partner in Foča Power Station

Thursday February 21st, 2013
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Kaldera Company LLC of Laktaši Photo: CIN

A Czech-based BDY Czech A.S. from Beroun is interested in acquiring the majority stake of the HE Bistrica LLC Foča, a concession firm owned by Kaldera Company of Laktaši and Public Company Elektrodistribucija of Pale. HE Bistrica has the concession rights over the building of four hydro power stations in East Bosnia on the Bistrica and Janjina rivers.

According to the Banja Luka Stock Exchange website, the Czech firm does not appear to have much experience in energy. It has been involved in the real estate business via JAMP and lottery and games of chance through SLOT Group. Since last year it has been involved in the health sector via Bohemia Medical Holding, and from this year on it has dabbled in energy sector via Energo Holding. The firm plans to invest in the heating plant of Loučovice that calls for around 35 millions KM and in a hydro power station Hrebečna whose construction would cost around 28 million KM.

The Center for Investigative Reportingin Sarajevo (CIN) published a story earlier this year explaining how Elektrodistribucija won the concession contracts for building four power stations in 2006. Two years after—contrary to the contract’s provisions—the RS government ceded 90 percent of its ownership to the private Kaldera company.

HE Bistrica is worth 10,212,994 KM. This is comprised of the paperwork for the construction of hydro power stations valued at 7.5 million KM and the rest is charter capital. Kaldera owns 90 percent and Elektrodistribucija a.d. Pale 10 percent of the firm and the two firms are supposed to invest around 150 million KM in the construction of the power stations. This construction has long been overdue because Kaldera does not have the funds and it has been searching for an investor to sell some of its shares to.

Last year Kaldera failed to negotiate a deal with Austrian-based Ki Kelag to which it offered 51 percent of its share.

According to a draft contract approved by Elektrodistribucija’s Stock holder assembly in the beginning of September, Czech could get 60 percent of HE Bistrica. Kaldera would get to keep 30 percent, while Elektrodistribucija would keep its 10 percent. In other words, the Czech partners would buy out 6,127,796 KM from Kaldera, while Kaldera would keep 3,063,898 KM and Elektrodistribucija the remaining 1,012,299 KM.

The draft would bind Czech to invest in HE Bistrica either through bank loans or other financial arrangements. The re-sale of its share would not be permitted without the written approval of other co-owners. The concessioner’s name remains the same: HE Bistrica LLC Foča with the production of electrical energy as its main business activity.

Published: 28/11/2012

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The Center for Investigative Reporting in Sarajevo (CIN) work is available for free to all organizations that credit CIN as their source and link to www.cin.ba.

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