News 
Komercijalna banka
17. 12. 2009.
Today, 4 leading IFI’s, namely, EBRD, IFC, DEG and Swedfund executed agreements with the Republic of Serbia and Komercijalna Banka, pursuant to which the IFI’s will subscribe for around EUR 120 million of shares in Komercijalna Banka, the largest state-owned bank in Serbia. This is the largest banking deal in Serbia in 2009. Harrisons’ Belgrade Office were the sole domestic legal advisers to the IFI’s.
Galenika
15. 12. 2009.
The Public Invitation was launched today for Galenika A.D. Beograd, the main Serbian State Owned Pharmaceutical Company. Interested Investors must purchase the Information Package by 19th February 2010 and then submit Indicative Bids by 19th March 2010 for a majority stake in the shares of the Company. Hemofarm, one of Serbia’s leading pharmaceutical companies announced yesterday that it would be taking part in the Tender. Estimates of the value of Galenika are put at EUR 200 Million.
Landline Licence
07. 12. 2009.
The Serbian Telecommunications Agency has announced that 4 companies have bought the tender documentation for Serbia’s second landline telephony licence. The companies are, Telenor and Vip Mobile, 2 of the 3 mobile operators presently on the Serbian market, plus Konsing Group (a US/Serbian consortium) and Kerseyco Limited from Cyprus which owns Serbian Internet provider, Verat. The Companies now have to submit offers by January 12th 2010, although this could be pushed back due to Orthodox Xmas holidays. There is no minimum price but if 2 or more bids are received, an auction will decide the winner.
Galenika
08. 09. 2009.
The next large state privatization to be announced in Serbia will be that of the pharmaceutical company Galenika. The Minister of Economy has placed a minimum price for 70% of the company at EUR 200 million. Germany’s Stad Arzneimittel AG, which owns Hemofarm in Vrsac, and Greece’s Alapis are seen as the most serious contenders for the tender.
Economy
18. 03. 2009.
The National Bank of Serbia’s foreign currency reserves at 28th February stand at EUR 8.23 Billion. Foreign currency reserves of commercial banks stand at EUR 755.2 Million. The national currency, the dinar, has lost 5.5% in nominal terms against the Euro since the beginning of 2009, now standing at 94.35 Dinars to the Euro. Government officials are presently in discussion with the IMF about a loan increase.