Chelyabinsk Region Government decided to privatize its share in the authorized capital of three companies, namely, Chelinformcenter Ltd., Ural-Tonar Ltd., and South Ural Investment Company JSC.

According to Evgeny Teftelev, Chelyabinsk Region Minister of Industry and Natural Resources, the share of the regional Government in the authorized capital of Chelinformcenter Ltd. amounts to 52.02%. It was acquired in 1999 through reorganization of Regional Information Center CJSC that resulted in setting up Chelinformcenter for rendering information services to the Government. The investments of the Government into the authorized capital of Chelinformcenter amounted to 120,000 RUR. Since the setting-up of Chelinformcenter, the total dividends acquired by the Government amounted to 40,000 RUR. Yet, the Government expects the privatization of the company to result in regional budget revenues equal to the company’s market value and to increase the number of the company’s investors. The Government is going to retain 25.1% of the company’s shares to be able to influence the company’s policies.

The share of the Government in the authorized capital of Ural-Tonar Ltd. amounts to 48.57%. It was acquired in 1992 through making a money contribution to the authorized capital and incomplete construction of Polymer plant whose core business was car and tractor vehicle repair. However, after 1992 the company was unprofitable. Its loss in 2005 amounted to 337,000 RUR, whereas its net wealth came to 318,000 RUR. The company owns a number of unoccupied incomplete houses located on a ground area of 6.7 hectares. However, according to the preliminary market evaluation, the market value of the Government share is to exceed 1m RUR.

The total shareholding of Chelyabinsk Region Government in the capital of South Ural Investment Company JSC amounts to 75%. The company’s core business is investment, financial and securities market consulting. The company was unprofitable as well, and this is the reason why the Government is going to sell 24% of its shareholding. The shareholding was received in 1997 via a money contribution of 3m RUR to the company’s authorized capital.

According to Mr Teftelev, the stockholders of the three companies possess the right of first refusal of the Government shares in their companies that are offered for sale. The stockholders will be offered the shares at their market value including the costs of their independent valuation. If the stockholders refuse the offer, the shares are to be put up at an auction.