As we wrote a month ago, Turkish investors have been monitoring the situation and are looking to take over KAP (Kombinat aluminijuma Podgorica), the biggest Montenegrin aluminum factory. They have completed their due diligence and are now ready to enter the official procedure of taking over the company. The whole process should be done in the next 2 months (it is expected that the contract will be signed after the elections in Montenegro which are scheduled for October 14th). Namely, Russian investors who bought the majority share of the company a few years ago didn’t live up to their promises and the Montenegrin government has been looking for someone to take over the factory.
Toščelik, a Turkish company, already owns a steel factory in Nikšić. They have been negotiating with the Russians to buy their share and have been able to significantly lower the price of 40 million EUR that Russians originally asked for. Of course, the Turkish investors have also been talking with government officials about their biggest problem when the factory starts operating — electrical energy. They don’t want to pay the market prices, and the government has promised them that they will get a lower price of electrical energy when the factory begins its production process.
Rade Krivokapić, the representative of the KAP’s workforce, said that before the takeover happens, they will need to talk to the new owner and see for themselves that they really mean well and want the company to get back on its feet. The workforce will have to be respected in every way, or there will be no deal.