Tue. Jun 18th, 2024

Govt Extends Deadline for Expression of Interest in Sugar Mills Tender

Ethiopia has extended the deadline for the Expression of Interest (EOI) submission date in a tender to privatize 8 state-owned sugar enterprises.

The previous deadline for prospective buyers to submit interest was set for November 30, 2022.

In a statement today, the Ministry of Finance announced that the submission date for EOI has been extended to January 4, 2023.

The decision to extend the deadline was made “after a request from potential investors,” the statement reads. The date for execution of an NDA has also been extended to December 31, 2022.

The ministry reiterated the commitment to give “a greater role to the private sector in the economy” and create a competitive market structure.

“To this end,” it said, “the Government started sugar sector reforms aiming to increase private sector participation in the ownership and operation of sugar companies.”

The government has already appointed Ernst and Young LLP as the lead transaction advisor to assist with the transaction process.

Both international and domestic investors are invited to acquire up to 100 percent of 8 state-owned sugar enterprises.

These mills include Omo Kuraz 1, Omo Kuraz 2, Omo Kuraz 3, Omo Kuraz 5, Arjo Dedessa, Kessem, Tana Beles, and Tendaho (together with the “Sugar Enterprises”).

Most of the mills are recently constructed with built-in infrastructure as well as water and land resources with cane-growing climatic conditions.

Apart from sugar production, authorities say the enterprises are also engaged in the production of ethanol and electricity for internal use and supply to the national grid.

Interested parties can express their interest by downloading the EOI document and executing and submitting a Non-Disclosure Agreement to the Ethiopian Investment Holdings (EIH), according to MoF.

Ethiopian Monitor.

By Chala Dandessa

I am Lecturer, Researcher and Freelancer. I am the founder and Editor at ETHIOPIANS TODAY website. If you have any comment use caalaadd2@gmail.com as email contact. Additionally you can contact us through the contact page of www.ethiopianstoday.com.

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