A representative of the National Property Fund presidium said yesterday that a new valuation of CEPS (100% owned by CEZ) would not be completed before the June 14-15 general elections (the NPF holds a 67% equity stake in CEZ).
Separately, CEZ’s June 11 AGM agenda was amended to include the issue of the proposed asset transfer with the state (the sale of CEPS, the transmission-grid operator, to the state and the purchase of the state’s stakes in regional distributors), though transfer prices were not included. However, it is not clear at the moment if a new GM’s approval of the transaction including transfer prices is necessary. The Czech Anti-Monopoly Office reportedly said that the fair value of the state’s stakes in the distributors is approx. CZK 50 bil., this based on indicative investors’ bids, and that a lower-than-market price in the asset transfer could be considered a form of state subsidy. Nevertheless, we believe that the successful implementation of energy-sector restructuring as proposed by the government is unlikely at present (though still possible).
(Jan Hajek)