ABC Plc has purchased Ethiopia's National Tour Operator
ABC is the biggest car rental company in the
country and owns luxury automobiles and buses.
23 November, 2009
Capital - Leading local transport provider and car rental company, ABC Plc has purchased the previously state-owned National Tour Operation and Travel Agency Enterprise (NTO) for 21 million birr with a 100 percent down payment.
ABC is the biggest car rental company in the country and owns luxury automobiles and buses.
The privatization and Public Enterprises Supervisor Agency's (PPESA) price for the sale of NTO was 14.2 million birr. Ayat Share Company offered 19.2 million birr, but they were trumped by ABC's offer.
The Privatization and Public Enterprises Supervisor Agency (PPESA) auctioned nine public enterprises months ago, including Kality Food Complex, Roha Ghion Hotel, NTO, Addis Ababa Fome and Plastic Factory, Adey Ababa Textile and Nifase Silk Painting Factory.
From these Roha Ghion Hotel in Lalibela, which was under Ghion Hotel Enterprises, was sold to Ayat for 31.64 million birr with a 40 percent down payment. The balance will be paid over the next four years. The initial price was 27.9 million birr for the formerly state-owned hotel. Blue Nile Resort also made an offer of 29 million birr.
Another local company, Hadid Trading, has offered 80.1 million birr to purchase Kality Food Complex. "While the price is better than the 62.5 million birr indicative price, some of the pre-conditions that the company want are unacceptable," Wondafrashe Assefa, public relations head of PPESA told Capital.
Hadid wanted an extra plot that was not included in the bid document and
it also wanted to fire some of the staff.
"If the company comes back without those conditions, we will transfer
the food factory," Wondafrash added.
According to Wondafrash, offers for other enterprises have been too small,
while other bids are still being evaluated.
NTO has more than 72 vehicles, such as tourist buses, radio-fitted 4WDs, pick-ups
and Mercedes Limousines, as well as a well-equipped garage.
It has been working with worldwide tour operators, mainly in America, Europe and Asia, for many years and it has over 10 branches in the country.
It has been the only state-owned tour operator in the country since its establishment in 1982.