Portuguese government puts railway companies up for sale

17 March 2015

The decree-law for the privatisation of railway companies CP Carga and Empresa de Manutenção de Equipmaento Ferroviário (EMEF) is expected to be approved by the government of Portugal by the end of the month, reported the daily financial newspaper Diário Económico citing a source in the Economy Ministry.

The newspaper added that, if this date is maintained, the government should start receiving binding proposals for the purchase of the two companies by the end of June and is expected to complete the process in July.

Approval of these diplomas also depends on the non-opposition decision by the European Competition Commission, a process in which the CP-Comboios de Portugal is being advised by BIG bank and law firm SRS Advogados.

The company and the government want to ensure that Brussels does not consider any support that CP has given the two subsidiaries over the years to be illegal subsidisation.

The decree-law is expected to include the possibility that the government will sell 100 percent of CP Carga and EMEF, but according to the same source this decision will depend on the proposals that are submitted. (macauhub/PT)