Bulgaria has extended the deadline for choosing the building of its EUR3bn 2,000 MW nuclear power plant and asked the two bidders Atomstroyexport and group around Skoda Praha (100% owned by CEZ) to shorten the construct ruction period of the first block to 8 from 10 years and to 6 years for the second.
Our view: We believe that CEZ through Skoda Praha has relatively high chance of winning the tender, which should bring some CZK140 per share in sales over the next six to eight years to CEZ. At the same time, CEZ would increase its foothold in the country, where it plans to expand further after acquiring three distribution companies and a power plant.