Uzbekistan is preparing to sell 99.7% of the car manufacturer and 100% of UzAuto Motors Powertrain. The state promises to hold an open tender without advantages for pre-determined buyers.
Companies from the USA, South Korea, and China have already expressed interest in acquiring UzAuto Motors. However, as Sohibjon Murodov, Director of the Agency for State Asset Management, stated on October 8, expressed interest does not guarantee investors the right to purchase. Preparation for privatization has been ongoing for about two years, and last year, the international consulting company Alvarez & Marsal was engaged to audit and analyze the business.
Currently, the agency is developing a privatization model and determining the timing of further actions. Independent international valuation, comprehensive due diligence of assets, and engagement of a consultant to organize the bidding are envisaged. Potential buyers will first be able to submit non-binding offers, then official applications with transaction terms. Negotiations will be held with the most attractive contenders, taking into account state requirements, including the terms and validity periods of licenses.
The privatization will affect 99.7% of UzAuto Motors shares and the entire capital of UzAuto Motors Powertrain. Investors meeting legal requirements will be able to participate in the procedure. After the preparation is completed, the authorities will announce the start of bidding through international channels and media in Uzbekistan and other countries. The final buyer will be determined based on the results of a competitive procedure.