Probe ordered into newspaper privatization

An investigation has begun into the privatization of the Belgrade-based Vecernje Novosti media company, it has been announced. At the same time, authorities say they are unaware how many of the company's shares have been taken over, while Economy Minister Mladjan Dinkic stated he wanted the German media group WAZ banned from the Serbian market. Probe ordered into newspaper privatization Interior Minister Ivica Dacic was also quoted late on Tuesday, when he said that anyone who had objections regarding the affair “should talk to the police”, because the details are “unfamiliar to him”. All this came as WAZ, which previously announced it was leaving its business operations in Serbia, that include stakes in dailies Politika and Dnevnik, had acquired shares in Vecernje Novosti. The president of the Commission for Protection of Competition, Dijana Markovic-Bajalovic, told B92 that the commission did not have any information on how many shares were taken over by the German media group WAZ. After WAZ announced that it was taking over Salzburg-based Ardos Holding and held 24.9 percent owner of Novosti’s shares, Markovic-Bajalovic said that “everything under 25 percent means that WAZ will not be able to have control over the daily”. “Therefore, id that's the case, this cannot be seen as a concentration of capital. We do not have any information on how many shares they actually bought. Novosti is an open joint stock company, whose shares are listed in the stock market. As soon as the 25 percent mark is passed, they have an obligation of sending a public offer for taking over the rest of the shares,” she said. Markovic-Bajalovic reiterated that the commission never gave WAZ the license for a concentration of capital in Novosti, “because it was never clear who was buying and who was selling the shares of the company”. WAZ stated that after buying Ardos, on the basis of an existing contract “with a Serbian businessman”, it planed on taking over the other two stock companies that have shares of the daily. The German group said that it had secured the money from its own assets for the purchase of about 62.4 percent of Novosti through these three companies and that it was now trying to secure its ownership. Minister: Ban them Deputy Prime Minster and Economy Minister Mladjan Dinkic late on Tuesday reacted to the brewing controversy by saying that Serbia “should issue a public ban against the return of WAZ, if the German media group is indeed attempting a back-door takeover of daily Vecernje Novosti, after it voiced harsh criticism and announced it was withdrawing from the country last week”. In a statement sent to the newspaper, Dinkic said he would discuss the WAZ situation with Serbian President Boris Tadic on Wednesday and voice his position that WAZ should be banned from returning to the Serbian market “even if they now desire to do so”. "(WAZ Managing Director) Bodo Hombach said in his letter that WAZ is withdrawing from Serbia. After his statements, WAZ has no place in Serbia. It is completely inconceivable that they are now trying to return to our media market through back-room maneuvering. After everything that has happened, it would be immoral for them to take over even some local paper, let alone a Serbian national brand such as Vecernje Novosti," Dinkic said. Dinkic pointed out that it is "unimaginable that someone who says one thing and does another should direct the media scene in our country". German WAZ Media Group announced last week that it wanted to terminate its holdings in Serbia and gradually withdraw from the country.

Probe ordered into newspaper privatization

Interior Minister Ivica Dačić was also quoted late on Tuesday, when he said that anyone who had objections regarding the affair “should talk to the police”, because the details are “unfamiliar to him”.

All this came as WAZ, which previously announced it was leaving its business operations in Serbia, that include stakes in dailies Politika and Dnevnik, had acquired shares in Večernje Novosti.

The president of the Commission for Protection of Competition, Dijana Marković-Bajalović, told B92 that the commission did not have any information on how many shares were taken over by the German media group WAZ.

After WAZ announced that it was taking over Salzburg-based Ardos Holding and held 24.9 percent owner of Novosti’s shares, Marković-Bajalović said that “everything under 25 percent means that WAZ will not be able to have control over the daily”.

“Therefore, id that's the case, this cannot be seen as a concentration of capital. We do not have any information on how many shares they actually bought. Novosti is an open joint stock company, whose shares are listed in the stock market. As soon as the 25 percent mark is passed, they have an obligation of sending a public offer for taking over the rest of the shares,” she said.

Marković-Bajalović reiterated that the commission never gave WAZ the license for a concentration of capital in Novosti, “because it was never clear who was buying and who was selling the shares of the company”.

WAZ stated that after buying Ardos, on the basis of an existing contract “with a Serbian businessman”, it planed on taking over the other two stock companies that have shares of the daily.

The German group said that it had secured the money from its own assets for the purchase of about 62.4 percent of Novosti through these three companies and that it was now trying to secure its ownership.

Minister: Ban them

Deputy Prime Minster and Economy Minister Mlađan Dinkić late on Tuesday reacted to the brewing controversy by saying that Serbia “should issue a public ban against the return of WAZ, if the German media group is indeed attempting a back-door takeover of daily Večernje Novosti, after it voiced harsh criticism and announced it was withdrawing from the country last week”.

In a statement sent to the newspaper, Dinkić said he would discuss the WAZ situation with Serbian President Boris Tadić on Wednesday and voice his position that WAZ should be banned from returning to the Serbian market “even if they now desire to do so”.

"(WAZ Managing Director) Bodo Hombach said in his letter that WAZ is withdrawing from Serbia. After his statements, WAZ has no place in Serbia. It is completely inconceivable that they are now trying to return to our media market through back-room maneuvering. After everything that has happened, it would be immoral for them to take over even some local paper, let alone a Serbian national brand such as Večernje Novosti," Dinkić said.

Dinkić pointed out that it is "unimaginable that someone who says one thing and does another should direct the media scene in our country".

German WAZ Media Group announced last week that it wanted to terminate its holdings in Serbia and gradually withdraw from the country.