FAQ
• What is the history of PAK?
The Privatization Agency of Kosovo is an independent public body that carries out its functions and responsibilities with full autonomy, by the Assembly of Kosovo Law No. 05/L-080.
The PAK shall possess full juridical personality and in particular the capacity to enter into contracts, acquire, hold and dispose of property and have all implied powers to discharge fully the tasks and powers conferred upon it by the present law; and to sue and be sued in its own name. The PAK is established as the successor of the Kosovo Trust Agency regulated by UNMIK Regulation 2002/12 “on the establishment of the Kosovo Trust Agency”, as amended, and all assets and liabilities of the latter shall be assets and liabilities of the PAK.
The Special Chamber have exclusive jurisdiction for all suits against the Agency.
The powers of the PAK are vested with the Board of Directors, comprised of eight Directors, where five are Kosovar Directors appointed by Kosovo Assembly and three International Directors appointed by International Civil Representative.
The inaugurating Board meeting of the PAK took place on 26th August 2008. Since then, the PAK is continuing the preparation of privatization of the Socially Owned Enterprises (SOEs).
• What is PAK selling?
In general, PAK creates NewCo's from SOE's and then offer for sale assets and current liabilities (defined generally as the last three months of unpaid accounts payable and the last year of unpaid VAT) of SOEs.
Investors only bid on the assets - and only a few of the current liabilities – of the SOE. Not the SOE itself. In this document, “NEWCO” refers to the assets and current liabilities of the SOE being sold by PAK.
PAK sometimes breaks SOEs into several smaller NEW COs. Please make sure you verify that you make a bid for the NEWCO that has the assets you are interested in. The Information Memorandum (see below) contains a detailed description of all assets belonging to each NEWCO.
KAP also makes sales of SOE assets in liquidation, referred as Assets Sale through liquidation. In this case NewCo is not offered for the sale (assets together with limited liabilities) but only a certain asset of the SOE.
KAP launches waves of privatizations on a regular basis and publishes announcements on the official web site of the Agency, local daily newspapers, national television, sends e-mail notifying the parties of interest and to all registered potential investors in its database. Also, in a certain cases the publications are made in the international press.
• How do I bid for a NEWCO?
1) Interested Investors should contact PAK and obtain the Rules of Tender for the specific NEWCO. These Rules of Tender will govern the tender process.
2) Review Information Memoranda, review confidential data in the PAK Headquarters or PAK Regional Offices, conduct visits to the SOE NEWCO with PAK staff, and perform other Due Diligence.
3) Pre-Qualify (see below).
4) Submit Bid on Bid Submission Date
i) Attend opening of Bid (Not required)
• How do I begin my research on a NEWCO or a NEWCO Asset in Liquidation I would like to buy?
Go to the PAK website, www.pak-ks.org, and read the relevant sections. There are Fact Sheets available for each NEWCO.
You should also download the model “Rules of Tender” and read them carefully. But note that each NEWCO will have individual “Rules of Tender”, which will need to be obtained from the PAK and which will govern the tender process for the relevant “NEWCO”.
Contact the PAK and make an appointment to meet with a PAK Sales Department/Marketing and Investor Relation Unit representative at either the main office in Prishtina.
The main number for the PAK Sales Department - Marketing and Investor Relation Unit office is +381 (0) 500-400 loc.1255.
The PAK regional offices are: RO Pristina, RO Peja, RO Gjilan, RO Mitrovica and RO Prizren and their contacts you can find here: http://www.pak-ks.org/?page=2,2.
• What information should I request from the PAK?
You must request the Documents for the NEW CO you are interested in buying.
There are specific Documents for each NEW CO.
Sign Confidentiality Agreement for the New Co that you want to bid.
After you sign Confidentiality Agreement you will receive Information Memorandum, Data Room, CLOR and other relevant information.
You can also visit the New Co that you are interested in
Due diligence – research, collection and analyses of information is responsibility of each bidder.
• What other steps must I take before Bid Day?
You must Pre-Qualify as a Registered Bidder.
• How do I Pre-Qualify as a Registered Bidder?
See the applicable rules of tender for full details of eligibility and how to pre-qualify and what documentation must be submitted.
You must submit the following at the PAK Main Office in Pristina, Marketing and Investor Relation Unit AT LEAST 5 BUSINESS DAYS prior to Bid Day:
1. Your contact details - this is a piece of paper which lists:
- Your name
- Your street address
- Your city and country
- Your telephone number
- Your email address
(i) The above mentioned details in regard to the representative
2. A Statement of Eligibility- this is a letter written by you. It states that you are eligible to bid and confirm that you are not a prohibited bidder as stipulated in article 4 of Rules of Tender. (See section 4.1 of the applicable Rules of Tender for a complete list of prohibited bidders).
3. If you are bidding as a natural person, you should submit a certified copy of ID/passport and a certificate proving that you are not under investigation.
4. If you are bidding as a legal entity/ partnership/ consortium you should submit a certified copy of your business registration/copy of constituent documents including list of the legal entity’s beneficial owner’s and control person’s and certificate’s proving that the owner/s, partnership/s is/are not under investigation (See section 7.2 of the applicable Rules of Tender for details).
5. Authorization - if you are a representative of another entity, you must identify that entity. In addition, you must provide all the documents listed above, including statement of eligibility, certified copy of ID/passport and a certificate proving that you are not under investigation.
• What happens when I submit my documents for Pre-Qualification as a Registered Bidder?
Request for eligibility registration and attached evidence will be reviewed by the assessment committee.
Certificate of eligibility for registration, which includes the registration number of eligibility, will be issued by the Agency, only if the decision of the Commission assessment is positive.
A copy of the eligibility registration form you need to put in SUPPLEMENTARY BID INFORMATION envelope
• When are bids accepted?
Bids are only accepted by hand from 10:00 to 12:00 on the Bid Submission Date, in the place designated by the Agency. Actually, until further notice, bids are submitted at the Red Hall, Youth Center, Str. Luan Haradinaj, Prishtina. These bids will be opened in the same place, starting at 12:30.
• Can I mail - in my Bid?
No. You MUST DELIVER THE BID ENVELOPES BY HAND.
• Must I deliver the Bid personally?
No, you can use a friend or a courier. They will be issued a receipt.
• Can you explain each of the Bid Documents a little more?
Yes.
Eligibility Registration Certificate – This is a certificate that that affirms that you are an eligible bidder. PAK will issue this certificate when you pre-qualify. See the “Rules of Tender” section 7.
Signed Statement – agreeing to follow bid conditions and rules of tender (Annex C) – see the “Rules of Tender” section 9.6 (a) (i) and the form at the end of this document.
Refundable Deposit – this is refundable (you will normally get it back if you do not win the tender) and you must also pay with a bank transfer. Do not pay with cash or a personal check. The amount of the deposit varies for each NEW CO being sold. To find out the amount of the Refundable Deposit for the NEW CO you are interested in buying, contact the PAK Privatization Department. See bank account details at the end of this document.
Envelope with bid price (the “Bid Price” envelope) – Note carefully the “Rules of Tender” section 9.6 (b). – “There must be no other information provided on the outside of this envelope and no information or marks which could identify the Bidder.”
• Will There Be Assistance Available?
Yes. PAK staff will be available to answer questions and provide you with inform
• How can I get access to official documents?
The Law 03/L-215 guarantees the right of every natural or legal person, without any discrimination, to have access, upon request, on the documents held, drawn or received by public institutions. You can also contact the agency via e-mail address at info@pak-ks.org; by submitting your inquiry form to the Reception Office at the HQ Office of Agency or Regional Offices. The Agency will respond within the timeframe stipulated by the law in question.
