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Czech Airlines' sole bidder, Unimex-Travel Service Consortium, offers EUR40 million

1-Oct-2009 1:15 PM

Unimex-Travel Service Consortium submitted its bid to acquire a 91.5% stake in loss-making Czech Airlines on 30-Sep-2009 (Associated Press/Reuters, 30-Sep-2009). The Czech consortium, the only bidder in the latest public tender, offered CZK1 billion (EUR40 million) for the carrier, significantly below the Czech Government’s expectations of CZK2-3 billion. The company stated its bid price was based on the airline having zero equity value. The Czech Finance Ministry stated it would make its sale recommendation to the government by 20-Oct-2009.