OIAG looks to sell 43% stake in Austrian Airlines

The Austrian industry-holding stock corporation, Österreichische Industrieholding Aktiengesellschaft (ÖIAG), has started the tender process for selling its 42.75% stake in Austrian Airlines. The Austrian Government gave the go-ahead Tuesday for the search for an appropriate investor by issuing the privatization mandate.
The privatization mandate entitles ÖIAG to sell up to 100% of its shares, ensuring an Austrian core shareholder structure with a participation of 25% plus one share.
Austrian Airlines said it will support the process.
ÖIAG has retained the international investment bank Merrill Lynch as exclusive financial advisor with regard to the potential sale of its interest in Austrian Airlines to an appropriate investor. Interested parties are invited to submit a written statement of their interest in the transaction to Merrill Lynch by August 24.
Consequently, within the scope of the privatization mandate, obtaining strategic concepts in the context of indicative offers, the selection of individual investors based on submitted indicative offers, further due diligence audits and closing negotiations of contracts with the remaining investors are planned.
ÖIAG administers the investments of the Republic of Austria in partially or entirely nationalized companies forming a group, the Austrian Industries AG until 1993 when this group was split and the ÖIAG was instructed to privatize the companies it owned.
Up until the end of 2005, ÖIAG also owned 31.50% of the oil producer OMV, 30.17% of Telekom Austria, 8.48% of the steel group Voestalpine, as well as a controlling stake in Osterreichische Post.