ECONOMY

Ford bids for Daewoo Craiova

BUCHAREST (Reuters) – Ford Motor has submitted the sole bid in a tendering for a majority stake in Romanian carmaker Daewoo Automobile Craiova, state privatization agency AVAS said yesterday. «AVAS received… only one offer, from Ford Motor Co,» the agency said in a statement. Romania wants to sell a 72.4 percent stake in Daewoo Automobile Craiova. Earlier this year, Romania said it had received letters of intent from General Motors Corp and Russian Machines, as well as Ford. The government has previously wanted to sell 95 percent of Daewoo, by adding a 22 percent stake owned by investment company SIF Oltenia to the tender, but AVAS told Reuters the company has withdrawn from the sale. The agency said it will announce the bid today at 1 p.m. at a news conference. The government bought back the troubled carmaker from its bankrupt owner Daewoo Motor in late 2006 for $51 million and paid another $10 million for debts stemming from past loans secured by the Korean company. The head of AVAS, Teodor Atanasiu, has said he envisages the buyer will have to ensure a minimum yearly output of 300,000 vehicles.