As previously reported, in accordance with the relevant privatization programs, the State Assets Management Agency conducted an open sales process for 100% state share in "Avto Climate Control" LLC (hereinafter - Asset) with the involvement of the consulting company "Portfolio Investments" as a privatization consultant.
As part of the privatization process, the Consultant conducted a large-scale marketing and promotional campaign, in particular, investment teasers were sent to various investors. As a result, Expression of Interest applications were received from 4 investors. All applicants meeting the criteria previously established at this stage were invited by the Consultant to participate in the next stage of the privatization process - submission of Binding Offers (BO).
Within the framework of this stage, a Non-Disclosure Agreement (NDA) was signed, as well as given an opportunity to analyze comprehensive analytical reports (due diligence) on financial, tax, legal and environmental activities of the Asset prepared by the Consultant and placed in the Virtual Data Room (VDR), as well as an opportunity to meet with the management body of the Asset.
In the given timeframe 3 applicants submitted their Binding Offers (BO) and “Best Pipe and Parts” LLC, which offered the highest priced bid, was declared the winner of the sales, subject to the payment of the purchase price in the amount of 230 billion UZS. Exercising the right provided under Article 31 of the Law “On Privatization of State Property”, the Buyer undertakes to make an initial payment of 35% of the purchase amount within one month.
In addition, the Buyer undertakes to maintain the core business of the Asset for a period of at least 10 years, strict compliance with the technical support licence agreements with the supplier approved by General Motors (USA) - the licensee of the products, as well as the requirements and related restrictions set out in the Master Alliance Agreement for the use of technological equipment related to General Motors technologies as well as other relevant agreements and restrictions.
It should be noted that the Buyer's offer is located in the upper part of the indicative price range calculated by the Consultant and exceeds the estimated value of the Asset.
The result of the Asset privatization was approved by the relevant decision of the State Commission for privatization of state assets and coordination privatization processes.
The State Assets Management Agency expresses its gratitude to all parties involved in this privatization process, and informs that the Consultant will send individual notifications to the bidders who participated in the final stage regarding the results of this stage.
