December 04, 2008

Mobarakeh share offer on Tehran Stock exchange fail to find buyer

Iranian media reported that block sale of over 3.1 billion shares of Mobarakeh Steel Complex, set to be the largest offer at Tehran Stock Exchange, failed to find buyers on Sunday.

Mr Mehdi Aqdaei deputy head of privatization organization told MNA that “The deadline for sale passed and no real or legal entity was able to pay IRR 10,232 billion to buy the 20% shares of the giant steel company. This failure to find purchaser was earlier predicted by the organization.”

He however added that as a result the shares would gradually be offered in the stock exchange in four 5% blocks. Mr Aqdaei said that first 5% percent block worth IRR 3,000 billion will be put on sale on November 27th 2007.

Mr Aqdaei added that “It seems no private entrepreneur has the financial clout to invest more than IRR 10,000 billion in the bourse.”