Appeals Court Finds In Favor Of SPF, Agrees To Review LTPL Case

Yesterday a regional Appeals Court ruled in favor of a request by the SPF, to review an earlier ruling which halted the privatization tender for Luhanskteplovoz (LTPL: HOLD) on October 2. The earlier ruling froze tender while several court cases surrounding the company’s privatization were settled. Olha Pankiv: The ruling is likely to lead to the SPF getting the green light to go ahead with LTPL’s privatization. The company needs the tender to provide it with desperately needed working capital. The current tender conditions appear to put Russia’s TransmashHolding in the driver’s seat. However, look for AvtoKrAZ (KRAZ: HOLD), which was recently announced the winner of a past tender for LTPL, to put up more legal obstacles for the winner of the new tender.