MF: Purchase of additional shares in the Port Bar investment of vital national interest

The purchase of additional shares in the Port of Bar by the state represents an investment of vital national interest, the Ministry of Finance (MoF) announced.

The expectations are, as they state, that the implementation of capital infrastructure projects will condition more efficient valorization of the geographical position of the port, facilitate business in the port area, and make the generation of costs more economical.

"On behalf of the Government of Montenegro, the Administration for Cadastre and State Property has today initiated the process of hiring a broker who will mediate on behalf of the State at the Montenegro Stock Exchange in the purchase of the share capital of the company 'Luka Bar' AD, which is marked with the symbol LUBA. According to the conclusions of the Government, the State can buy a maximum of 10.459.654 shares (18,42 percent) at a maximum price of EUR 0,90 per share, which would, in addition to the existing package, have two-thirds ownership in this company and ensure the possibility of making strategic decisions for the further development of not only the port, but also the overall economy," announced the Ministry of Finance.

They said that the government's intention is to fully valorize the company's potential.

"Having in mind the need for Luka Bar AD, as one of the most profitable companies of this profile, to be recognized as a leader in setting new standards in quality, professionalism, reliability and competitiveness in the field of port services, the Government's intention is to fully valorize the potential by increasing the ownership share companies in order to become an essential hub of the logistics system in the region of South-Eastern Europe", the announcement states.

Today, the state bought a little more than nine million shares of that company from the small shareholders of Luka Bar on the stock exchange at an average price of 89,9 cents, thus already achieving two-thirds ownership in that company.

EUR 8,15 million was paid for that amount of shares.

Since the earlier order for the purchase of shares, the state can still buy about 1,3 million shares at a price of up to 90 cents. Trades on that remaining part of the order will resume on Monday.