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Government won't sell its shares in Pliva

ZAGREB, March 20 (Hina) - Croatian Prime Minister Ivo Sanader on Mondayreceived Zeljko Covic, the CEO of Pliva for talks on the situation andplans of this leading Croatian pharmaceutical company.
ZAGREB, March 20 (Hina) - Croatian Prime Minister Ivo Sanader on Monday received Zeljko Covic, the CEO of Pliva for talks on the situation and plans of this leading Croatian pharmaceutical company.

The government's public relations office stated that Sanader said that Pliva "has a great importance for the comprehensive economic development of Croatia as well as for the development of science and that is why the government is not going to sell its share in Pliva, regardless of interest which a potential buyer has shown".

The Croatian government holds 18 percent shares in Pliva's stock capital.

Covic said that the company was planning to invest over 80 million dollars into research projects this year. Pliva's research activities currently engage over 450 people, he added.

Last week, the Icelandic company Actavis sent a preliminary non-binding bid for the take-over of Pliva's equity capital, offering 570 kuna per share, which means that Pliva's value was assessed at 1.6 billion dollars,

The Pliva management turned down the offer describing it as unattractive.

"Today, Pliva is among the top twelve generics companies world-wide and Management strongly believes that Pliva will be able to create greater value for shareholders by further growing its position through its strength in development, competitive manufacturing capabilities, and focus on key markets," the management reported last Friday.

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