Company Concorde Capital chosen by the state property Fund as an adviser on the preparations for the privatization of “President Hotel”.
“We are now completing the collection and analysis of information on the “President Hotel”. This is the first of the four steps stipulated in the contract with the SPF. As of today we have not received the “President-Hotel” and half of the requested information. I hope that soon we will get a full package of documents. However, the information that we have managed to gather, including from open sources, is enough to draw conclusions about the attractiveness of the “President-Hotel” for potential buyers,” he wrote.
According to Mr. Mazepa, the main “highlight” of the “President-Hotel” is that CHAO “President-Hotel” is not engaged in the hotel business. As it turned out, in 2009 the company has transferred the entire hotel complex (including the hotel and the surrounding area) in rent for 25 years to a private firm. And this private firm, in fact, engages in hotel business in a state enterprise.
Thus, the main “asset” of the state company PJSC “President-Hotel” – is a lease. And the main source of revenue is lease payments from the private operator of the hotel.
“Today, our legal partner company Redcliffe Partners examines this lease. In particular, the possibility of divorce”, – said the head of Concorde Capital.
According to him, their goal is to put on a privatization tender is not the right of possession of the lease, and the entire hotel business. “Having a detailed analysis of the lease from competent law firms, we will draw conclusions about what we will sell” – said Igor Mazepa.
At the same time and crystallize the strategy for the sale, which the company will provide the state property Fund, and then it will be clear that the circle of potential bidders for the purchase of this asset.