The Serbian government has put out a tender document, offering 99.4% of MRO company Jat-Tehnika for privatization.
Belgrade Airport-based Jat-Tehnika is currently 95.4%-owned by the Republic of Serbia, with the remainder held by various national-insurance funds and local government.
In the tender, Serbia has called for expressions of interest from companies--or company owners--who have been continuously active in aircraft MRO for at least five years, with a 2018 operating income of at least €40 million ($44.9 million).
Applicants must have a base maintenance facility with at least 10 positions that has been active for two years or more.
The government also calls for at least five years’ continuous experience of Bombardier and Embraer base-maintenance, line-maintenance capability for three of four aircraft types (Boeing 737 classic, 737NG, Airbus A320 family and ATR 42/72), plus 737 MAX and A320neo capabilities.
According to an appraiser’s report, the upper end of Jat-Tehnika’s fair market value has been estimated at €20.5 million, the government said. This will be used as the bid starting price.
Would-be bidders have until July 19 to request the confidential sale documents. The deadline for formal expressions of interest has been set for 1500 local time on July 31.
Sealed applications will then be opened during a government meeting in Belgrade at 1000 local time on Aug. 1.
Jat-Tehnika claims to be one of the oldest MRO shops in southeastern Europe, with more than 85 years of experience. It started life in the 1920s, as the technical division of an airline called AEROPUT. After the second world war, AEROPUT changed its name to JAT Yugoslav Airlines, before rebranding to become Jat Airways in 2003.
In January 2006, Jat-Tehnika was founded, after being split off from parent company Jat Airways, which is now branded as Air Serbia and is part-owned by Etihad Airways.
Jat-Tehnika offers base and line maintenance, engine and components work, engineering services, non-destructive testing, calibration, materials management and maintenance training.