Government Suspends Privatization of Luhanskteplovoz.

Viktor Yanukovich, prime minister, announced today that the Cabinet had decided to cancel the planned privatization auction of Luhanskteplovoz (LTPL: HOLD) that was scheduled on Oct. 3. Yanukovich said the government wanted to ensure the privatization would be transparent, and that the Cabinet would make another decision about the company’s sale in the future, without mentioning any time frame. Olha Pankiv: The tender conditions, favoring Transmashholding of Russia, might have been the reason for the move. If the conditions are re-considered there could be more competition at the tender and a higher selling price. However, there has also been talk of a government plan to privatize LTPL without a tender, by forming a joint venture.