Dammy Krane – Ori ft. Kayswitch

About 10 of the bidders at a round table with the government last week, had requested for a month extension to enable them conclude the financial transactions with their respective banks.

The 14 companies cumulatively paid $559.44 million for the 15 successor companies on March 21, being the mandatory 25 per cent bond requested by government to confirm their statuses as the preferred bidders.

However, the BPE in a statement, said the National Council on Privatisation, NCP, insisted that: “The deadline for payment of the remaining 75 per cent remains Wednesday, August 21, 2013, as stipulated in the Request for Proposal, RFP.”

The statement added, “In compliance with the tenets of transparency and accountability, the Bureau will continue to strictly abide by the terms and conditions in the RFP.”

Liability free assets
Recall that the bidders under the aegis of the Roundtable of Distribution Companies, had also requested that government should fulfill all the “conditions precedent” of the RFP by paying off all the liabilities of PHCN workers.

The Roundtable Chairman, Dr. Ransome Owan, had said: “It is a condition precedent that the Discos would be handed over free from all legacy liabilities.”

He insisted that this was paramount as their financiers “are reluctant to approve loans and condition draw-down. Therefore, it is vital for full payment obligations to the current PHCN employees be finalised before the long stop date of August 21. Lenders expect evidence of these payments before we can draw down on funds to complete our payments.”