The Privatisation and Public Enterprises Supervising Agency (PPESA), came out empty handed once again, as four auctioned state enterprises which were thought to bring in lucrative prices, failed to attract tenders.
Ghion Hotel, Adola Gold Mining Enterprise, Artistic Printing Enterprise and Agricultural Mechanization Services Enterprise, were floated on the auction bloc on November 12, 2013. Ghion and Artistic have repeatedly been tendered while Adola was put on the auction bloc for the first time.
The tender had garnerd a lot of interest with many businesses and individuals buying bid documents. Adola, had especially been in the forefront attracting 31 investors to buy bid documents. It was closely followed by Ghion , for which 27 bid documents were sold. Artistic and Agricultural development also attracted 18 and 12 investors respectively.
Despite such interest, however, no bids came on opening day. “We are as surprised as you are,” Berhane Gebremedihin, bid committee chairman told members of the press. In order to find out why some enterprises fail to draw offers officials at PPESA have conducted a study, the initial draft of which is tabled to Beyene Gebremeskel, director general at PPESA.