Article: Chile: Essam and Essar tender offers are in the final stages.

Chile, Sep 20, 2001

SAE (Sistema Administrador de Empresas del Estado) informed that there are 14 pre-qualified companies to enter the final tender offer for the water distribution and water treatment companies Essam and Essar. However, according to analysts, due to some unclear contract clauses, very few companies of those 14 should finalize offers. The basic requirements for the participating companies were a $13,000mil capital investment, a yearly payment of UF6,000 plus a double payment in the last two years of the contract. A UF500,000 deposit bill to assure the offer plus other UF45,000 deposits to assure compliance with the contract. The pre-qualified ...

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