According to local daily Dnevni Avaz, Verbund placed the highest bid of EUR 3.5bn to build eight power plants – water as well as thermal, and coal mine in Bosnia. There were 37 bids placed, including CEZ’s one.
Our view:
Although CEZ is very active in Bosnia lately, it didn’t manage to win this tender as competition was enormous. Nonetheless we see this news as neutral for today’s trading with CEZ. Note that CEZ has already signed long term cooperation agreement in the amount of more than EUR 1.5bn with Elektroprivreda RS to build two thermal power plants in the south of Bosnia and purchase of coal mine.