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May 15, 2021

Transport Minister: Strategic consultant for Tarom’s restructuring unveiled by end-November

The strategic consultant for the restructuring of Romania’s flag carrier TAROM will be announced by the end of November, as the company’s Board of Directors is scrutinizing the six submitted bids, Transport Minister Sorin Buse (photo) told Agerpres on Saturday.

“The Selection Commission analyzed the 6 bids which are now being assessed by the Board of Directors. They must be validated by the General Meeting of Shareholders. The whole process will take a few more days, but by the end of November we’ll announce the strategic consultant. This should be a partner of ours from whom we seek confirmation for certain elements we tapped into, but which he sees in the light of international experience. We hope to also see some positive results in the coming months as regards commercial partnerships,” Buse said.

“TAROM is a brand and it is my desire that it stays a national symbol, and I am convinced that it will be a profitable company. If we want it to be completely independent, it will be a regional company, yet more vulnerable. If we want it to enter certain partnerships – and we’ll succeed this – it will be part of a network gear and will play differently, alongside others,” explained Sorin Buse.

He also mentioned that the government is not intent on selling a part of its stake in TAROM, but does not shut out the option of selling a minority stake, should the chance of a profitable partnership appear.

“At this moment we don’t plan selling, but it all depends on the circumstances. We want to enter commercial partnerships, but if we secure some favorable terms and someone seeks a minority stake while allowing us other facilities, such as more planes, if we enter a partnership and decide on a business plan with more aircraft or capital, then we might mull this option,” said the Transport Minister.

Sorin Buse participated Saturday in the Open Doors Day organized by subway operator Metrorex at its Central Offices to mark 37 years since the entry into service of the subway.


Buse says that in 2017 another 150 km of highway will be open


Transport Minister Petru Sorin Buse stated on Friday that until the end of this year another 15 kilometers of highway will be inaugurated, and the next year the figures will rise to 150 kilometers.

“This year another 15 kilometers of the Lugoj- Deva highway will be opened, around 15 December. I was there, the works are in an advanced state. For 2017 we are talking about 150 kilometers of highway, namely the Lugoj-Deva, Sebes-Turda section, and additionally 26 kilometers of the Supacu of Barcau-Bors section. Currently we are launching the auction process for over 500 kilometers of the Tg-Neamt-Iasi-Ungheni, Craiova-Pitesti, Sibiu-Pitesti highways, stages I and II, but we want to unlock the Comarnic-Brasov section, where you know a series of challenges were raised. Moreover, we have unlocked the section between Sibiu and Sighisoara and we want to launch the auction between the Sighisoara and Brasov section,” Minister Buse stated.

In regards to the Comarnic-Brasov section, the quoted source mentioned that a series of analysis were made and according to them, there might be six potential funding sources for this section.

“The budget is an option, but it’s not preferable, so the best solution are the European solidarity funds, the European financial institutions, the large strategic investors, the Public-Private Partnership (PPP) and the European funds. From our analysis for the highway the least advantageous is the PPP. European funds are ideal for us, so we must take advantage of them. The large investors who were, until two-three years a little rigid, have now started to be more flexible. There are also some objective conditions. Think about the Brexit, about what is happening in Turkey. Now they are pretty much looking for us. The dynamics changed,” Minister Buse stated.

The Transport Minister attended, on Friday afternoon, the inauguration of the first section of the Brasov detour, which makes the connection between National Road 1 (DN 1) and National Road 11 (DN 11).

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