RZD Failed to Sell VRK-3

OAO RZD failed to sell 100% minus one share in the Third Car Repair Company (VRK-3), the RIA Novosti reports. The reason was lack of bidders in the tender.

The tender results were to be announced on November 28. However, the tender was not held as bidders refused to participate in the tender.

OAO RZD Board of Directors easier approved the sales of 100% minus one share in VRK-3 with the starting price of 7.016 B RUB (110 M USD). The tender winner could not bid in tenders for VRK-2 (Second Freight Car Repair Company) sales or be a VRK-2 shareholder within five years since VRK-3 acquisition.

VRK-1, VRK-2 and VRK-3 were established as part of the reform of OAO RZD’s freight car repair business.