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Barec acquires part of Druzhba

2 July 1998: Bulgaria“s Commission for the Protection of Competition has allowed the Cyprus-based Barec company to acquire 51% of the Druzhba glass manufacturer, the commission head Nikolai Pavlov sa…

2 July 1998: Bulgaria“s Commission for the Protection of Competition has allowed the Cyprus-based Barec company to acquire 51% of the Druzhba glass manufacturer, the commission head Nikolai Pavlov said. Barek reportedly offered a total of US$ 20 million for Drouzhba. Bulgaria“s Privatisation Agency chose Barec recently, but asked the opinion of the anti-trust commission fearing possible abuse of monopoly position as Barec is partly owned by Greece“s Yiula, which has already bought Sofia-based Stind glass works, reports say. “If Greeks buy our company, they will either close it or put pressure on agriculture through the price of bottles and jars,” said Ivan Kirishev of the Plovdiv-based Drouzhba glass manufacturer. The company has reportedly sent a declaration to prime minister Ivan Kostov urging that Drouzhba remain in Bulgarian hands. The document is signed by all the companies that buy the Drouzhba“s products. Two candidates are said to be bidding for 51% of the glass manufacturer: a team of managers and employees supported by Greece“s Kapa Mi and International Equities Inc., a daughter company of the controversial Stellar Global Corp. The other offer, which was ranked first, had been made by the Nicosia-based Barek company controlled by the Greek Yiula company. Bulgaria“s anti-trust commission was expected to rule on the case in mid-June.

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