Second stage of privatisation preparation for Azerbaijan's largest bank not to begin before summer
Azerbaijan, Baku, May 10 / Trend A.Akhundov /
The second stage of the preparation for the privatisation of the state's shares in the International Bank of Azerbaijan's (IBA) authorised capital will begin after receiving the auditor's report in May, IBA Chairman of the Board Jahangir Hajiyev told Trend on Thursday. An audit of the bank's activity on the outcome of 2011 is carried out by an international audit firm Deloitte.
"The first stage of preparation for the privatisation is completed - consultants got familiar with the bank, learned his condition. We now wait for the results of an international audit. I think that in May, Deloitte will present the results and then we will begin the next phase," Hajiyev said.
The consortium of PriceWaterhouseCoopers Audit Azerbaycan, Salans UK Limited, and Rothschild & CIE are acting as consultants on this issue.
The consultants must work in accordance with international norms and standards of financial transactions. The advisory services will be set up in two stages. The above-mentioned services should be rendered at both stages.
Consultants must submit proposals for privatisation and the reduction of the state share in the share capital of the bank through an additional issues, as well as recommendations on price and conditions of sale of its shares within the first phase.
They must also submit recommendations on the cost and conditions of sale of the shares, attract potential buyers, meet the interests of Azerbaijan, examine the process of privatisation and carry out the necessary work associated it depending on the way it should go, including the preparation of memorandums and related documents within the second phase.
The International Bank of Azerbaijan's main shareholder is the Azerbaijani government, which owns 50.2 per cent of the shares. About 49.8 per cent is owned by private individuals and legal entities.