State-owned Enefit Green to go public in first half of 2022
The state is planning to privatize up to 49 percent of energy group Enefit Green in the first half of 2022 and will also begin with the process of listing three other companies (Operail, Teede Tehnokeskus and Levira).
The government gave Minister of Economic Affairs and Infrastructure Taavi Aas (Center) the task of privatizing the non-strategic business directions of logistics company Operail. The company will likely receive approval in May this year.
The state intends to maintain control of the strategically important railway freight company. Revenue from the sale of non-strategic businesses must ensure improvement to service quality and investments to the depreciated locomotive fleet, estimated to cost €74 million in the near future.
The state is planning to sell off a 51 percent majority to the financial investor with the best offer. The sale of the remaining 49 percent is also planned for the future.
The state is also planning to sell its holdings in technical service provider AS Teede Tehnokeskus and digital services provider Levira with a draft of the transfer of state participation in the former to be completed in September.
Minister of Finance Keit Pentus-Rosimannus (Reform) is tasked with listing up to 49 percent of state-owned energy group Eesti Energia's renewable subsidiary Enefit Green on the securities market. The state intends to take the energy group public by the first half of 2022.
The government will continue discussing the transferal of other state-owned companies and involving the private sector in services over the next two months. As of April, the state has holdings in 28 different companies.
"The state is a good host where the market does not operate well and, rather unanimously, a poor host where the market works well," finance minister Keit Pentus-Rosimannus said.
"Mostly, state holdings are justified by owning strategic infrastructure but not necessarily operating it. Private capital involvement usually brings companies with state holdings greater effectiveness, development dynamics and better market assessment," the minister added.
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Editor: Kristjan Kallaste