Two Russian companies interested in Krusevac-based Lubricant Plant

Russian investment fund Region and NIS Gazprom Neft are interested in taking over Krusevac-based Lubricant Plant (FAM), which entered the restructuring process in mid-2011, upon terminating a privatization agreement.

In addition, three multinationals are interested in entering into strategic partnership with FAM, people at that company told Beta news agency.

According to Ljubimir Subara, asset representative at FAM, representatives of the investment fund Region have recently visited the company, talked with the management, and expressed interest in buying the plant.

He added that NIS Gazprom Neft too was interested in "certain forms of cooperation, and even in the acquisition of FAM."

As Subara said, the date when the plant will be privatized largely depends on the readiness of prospective buyers to take over FAM, but the plant's restructuring process must be finished by mid-2014.

According to Subara, FAM's 2012 results were positive as it produced 7,800 tonnes of final products, which is "more than satisfying" considering the absolute lack of working capital and numerous problems with the production and procurement of raw materials.