Further delays to the privatization of state mining company Larco

Another six-month delay is to be imposed on the process for the privatization of troubled Larco General Mining & Metallurgical Co SA.

The reason for that is the court action by 1,060 employees against the severance pay the state and the special administrator of the company are offering them, and who have already secured an injunction.

The case will be heard on May 6, a day after the deadline for offers concerning the twin tenders for Larco’s factory and mines. Therefore it is unlikely any investor will submit a binding offer without knowing what will happen with the company’s staff.

Every year it remains under state ownership, Greece loses 44 million euros.