Greece Cancels DESFA Stake Sale to Azerbaijan’s Socar

desfa-thumb-large-thumb-largeThe Greek government on Wednesday cancelled the sale of a 66 percent stake of the Hellenic Gas Transmission System Operator (DESFA) to Azerbaijan’s Socar.

The energy ministry announced that the Azeri company’s proposal to reduce the price of the sale to less than 400 million euros by asking for an installment plan is legally infeasible, thereby the deal is off. The Greek government will decide when the new tender for DESFA will be announced.

However, the DESFA privatization is one of the prerequisites of the second bailout program review that has a Monday deadline. Athens is keeping the tender open. So far U.S., Belgian and Qatari companies have expressed interest in buying the DESFA stake.