ZAGREB, July 31 (Hina) - The media concern 'Styria' from Graz has given up its plan to invest into 'Vecernji List' daily, Marijan Kostrencic, president of the daily's majority owner 'Caritas Fund' and head of the 'Vecernji List'
supervisory board, said in a statement on Monday. The Austrian concern explained its decision with the fact that a temporary measure banning the transfer of Vecernji List shares was still in force and that the Croatian Pension Insurance Fund continued a procedure to annul the contract despite indications from some representatives of the authority that an agreement on this question can be reached, Kostrencic said. The stability of the daily will be preserved but not without quick economising and activating of the daily's internal reserves. Kostrencic further states that Styria was an ideal partner for Vecernji List and its decision not to invest into the daily will result in the loss of an a
ZAGREB, July 31 (Hina) - The media concern 'Styria' from Graz has
given up its plan to invest into 'Vecernji List' daily, Marijan
Kostrencic, president of the daily's majority owner 'Caritas Fund'
and head of the 'Vecernji List' supervisory board, said in a
statement on Monday.
The Austrian concern explained its decision with the fact that a
temporary measure banning the transfer of Vecernji List shares was
still in force and that the Croatian Pension Insurance Fund
continued a procedure to annul the contract despite indications
from some representatives of the authority that an agreement on
this question can be reached, Kostrencic said.
The stability of the daily will be preserved but not without quick
economising and activating of the daily's internal reserves.
Kostrencic further states that Styria was an ideal partner for
Vecernji List and its decision not to invest into the daily will
result in the loss of an additional 50-million-kuna investment and
the payment of DM26 million to investors in the Caritas Fund.
"With Styria as a strategic partner, the survival and development
of Vecernji List would have been certain in today's situation when
the daily's main rivals already have a strong backing of their
strategic partners. Consequences for the current standard of
employees would have been minimal, the development of a new scope of
editions would have been secured, as well as the modernisation of
technology and new sale and marketing models," Kostrencic said in
the statement.
He added the case would have much wider negative connotations for
foreign investors in Croatia than for the daily.
(hina) rml