The second auction of the assets owned by bankrupt Bulgarian steel giant Kremikovtzi is scheduled for November 5, 2010, Sofia News Agency has reported.
Accordingly, unlike the first closed-bid auction, which failed in the middle of September, the second auction will be with direct bidding. The starting price will be BGN 452,414,008 (approx. $323.3 million), down by 20 percent over the initial price. A ten percent deposit is to be paid in advance.
According to Kremikovtzi's administrator Tsvetan Bankov, the rail transport network and the electricity and natural gas distribution grids on the site of the plant are its biggest assets and should draw investors now that the price is lower.
As SteelOrbis previously reported, on September 13, 2010, the first closed-bid auction of the assets owned by Kremikovtzi failed to attract any bidders. The starting price for the auction was set at BGN 565,517,510 (about $404 million).