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Romania: State sale of rail freight carrier fails

By  |  October 15, 2013

Romanian government officials announced the failure of the planned privatization of state rail freight carrier following the expiration of a deadline for a possible buyer to pay for the stake.

Reports say Grup Feroviar Roman was set to acquire the 51 percent stake in the CFR Marfa carrier. But the deadline for GFR to pay about $230 million for the company passed without such payment.

The sale of the freight was part of an agreement with the International Monetary Fund for the nation to receive billions in financial aid.

In a statement, Transport Minister Ramona Manescu told reporters that regulators “consider that this sale has failed.” The regulator confirmed that a new sale process would be re-launched, though declined to offer a timetable or details on the plan.

Full Content: Reuters

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