OMV Says Won’t Bid In Petrom SPO

04.27.2011 By Florentina Dragu

Austria’s OMV, majority owner in Romanian leading oil company Petrom (SNP.RO) Tuesday said it won’t participate in a 9.84% secondary public offering in Bucharest slated to take place in the coming months.

Austria's OMV, majority owner in Romanian leading oil company Petrom (SNP.RO) Tuesday said it won't participate in a 9.84% secondary public offering in Bucharest slated to take place in the coming months.

"While our investment in Petrom has proven to be very successful, making us a very satisfied investor, we decided not to make an offer for the 9.84% stake in the upcoming secondary offering," said Gerhard Roiss, CEO and Chairman of the Executive Board of OMV.

As a 51% owner of OMV Petrom, OMV has already control of the company and an increase in the stake would therefore not change the level of influence in decision-making, the Austrian company said.

Romania plans to reduce its stake in Petrom to 10.8% from 20.6% currently and estimates it will obtain around EUR600 million from the sale.

The authorities in Bucharest selected a consortium led by Renaissance Capital to broker the deal.