Uzbekistan’s wine industry, Euro Pack LLC has acquired a 51.48% state share in “O'zbekiston shampani”. The transaction, approved by the State Privatization Commission and the State Assets Management Agency (UzSAMA), amounts to UZS 72bn ($5.9mn).
Investment and development plans
Beyond the acquisition, Euro Pack LLC has committed to invest $18.5mn in the development of the Joint Stock Company (JSC) by 2025. This investment will fund the modernization of production and the installation of equipment for the production of cognac alcohol and oak barrels for storage.
Fostering wine tourism
As part of its development plans, Euro Pack LLC intends to create a restaurant and a tasting room on the plant’s premises. Furthermore, a wine tourism centre is set to appear in the Parkent district, marking a significant step towards promoting wine tourism in the region.
Competitive bid
The privatization process, overseen by consultant KPMG, saw proposals from four applicants. Euro Pack LLC, which specializes in the production of containers for alcoholic beverages, offered the highest price. The UzSAMA report notes that the company’s expertise can ensure the stable operation of the JSC in the future, leading to its recognition as the auction winner.
Financial performance
According to the latest financial reports published by the Unified Corporate Information Portal, “O'zbekiston shampani” reported revenue of UZS 35.5bn ($2.9mn) for Q1 2023. This marks a significant increase from the UZS 13.36bn ($1.1mn) reported for the same period in 2022.
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