Finding Real Owners : Lessons from Estonia's Privatization Program
The Estonian government has quickly privatized more than 90 percent of its industrial and manufacturing enterprises. The Estonian privatization agency batches 30-40 firms and advertises them for sale. The prime goal is to find "real owners" capable of running a durable, productive firm. Purchase offers are judged not only on price, but also on the quality of business plans submitted. In 17 sales, the Estonians have combined strategic investment with voucher exchanges. An unresolved problem is that the face value of the vouchers outstanding far exceeds the likely value of assets being sold. This Note concludes that Estonian privatization has been a success in scope and pace. No private firm has yet failed, and the privatization agency reports that most divested firms are expanding their employment. However, these promising results are tempered by the fact that the 70 privatized firms experiencing problems with installment purchase payments are only being admonished. But this problem, though significant, is not overwhelming.
Main Author: | |
---|---|
Language: | English |
Published: |
World Bank, Washington, DC
1996-01
|
Subjects: | AFFILIATED ORGANIZATIONS, ASSETS, AUCTION, AUCTIONS, BID, BIDDERS, BONDS, CAPITAL MARKETS, EMPLOYMENT, FACE VALUE, HOUSING, INSIDER TRADING, LIQUIDATION, MARKET VALUE, OFFERINGS, PRIVATIZATION, PURCHASE PRICE, REORGANIZATION, TELECOMMUNICATIONS, TENDERING, TRANSITION ECONOMIES, VOUCHERS DENATIONALIZATION, INDUSTRIAL ENTERPRISES, PUBLIC ENTERPRISES, INFRASTRUCTURE, SMALL ENTERPRISES, CAPITAL ASSETS, COMPENSATION BONDS, INSTALLMENT PAYMENT, VOUCHER EXCHANGE, PUBLIC OFFERING, |
Online Access: | http://documents.worldbank.org/curated/en/1996/01/696805/finding-real-owners-lessons-estonias-privatization-program https://hdl.handle.net/10986/11640 |
Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
id |
dig-okr-1098611640 |
---|---|
record_format |
koha |
spelling |
dig-okr-10986116402024-08-08T18:07:14Z Finding Real Owners : Lessons from Estonia's Privatization Program Nellis, John AFFILIATED ORGANIZATIONS ASSETS AUCTION AUCTIONS BID BIDDERS BONDS CAPITAL MARKETS EMPLOYMENT FACE VALUE HOUSING INSIDER TRADING LIQUIDATION MARKET VALUE OFFERINGS PRIVATIZATION PURCHASE PRICE REORGANIZATION TELECOMMUNICATIONS TENDERING TRANSITION ECONOMIES VOUCHERS DENATIONALIZATION INDUSTRIAL ENTERPRISES PUBLIC ENTERPRISES INFRASTRUCTURE SMALL ENTERPRISES CAPITAL ASSETS COMPENSATION BONDS INSTALLMENT PAYMENT TRANSITION ECONOMIES VOUCHER EXCHANGE PUBLIC OFFERING The Estonian government has quickly privatized more than 90 percent of its industrial and manufacturing enterprises. The Estonian privatization agency batches 30-40 firms and advertises them for sale. The prime goal is to find "real owners" capable of running a durable, productive firm. Purchase offers are judged not only on price, but also on the quality of business plans submitted. In 17 sales, the Estonians have combined strategic investment with voucher exchanges. An unresolved problem is that the face value of the vouchers outstanding far exceeds the likely value of assets being sold. This Note concludes that Estonian privatization has been a success in scope and pace. No private firm has yet failed, and the privatization agency reports that most divested firms are expanding their employment. However, these promising results are tempered by the fact that the 70 privatized firms experiencing problems with installment purchase payments are only being admonished. But this problem, though significant, is not overwhelming. 2012-08-13T15:36:29Z 2012-08-13T15:36:29Z 1996-01 http://documents.worldbank.org/curated/en/1996/01/696805/finding-real-owners-lessons-estonias-privatization-program Viewpoint. -- Note no. 66 (January 1996) https://hdl.handle.net/10986/11640 English Viewpoint CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank application/pdf text/plain World Bank, Washington, DC |
institution |
Banco Mundial |
collection |
DSpace |
country |
Estados Unidos |
countrycode |
US |
component |
Bibliográfico |
access |
En linea |
databasecode |
dig-okr |
tag |
biblioteca |
region |
America del Norte |
libraryname |
Biblioteca del Banco Mundial |
language |
English |
topic |
AFFILIATED ORGANIZATIONS ASSETS AUCTION AUCTIONS BID BIDDERS BONDS CAPITAL MARKETS EMPLOYMENT FACE VALUE HOUSING INSIDER TRADING LIQUIDATION MARKET VALUE OFFERINGS PRIVATIZATION PURCHASE PRICE REORGANIZATION TELECOMMUNICATIONS TENDERING TRANSITION ECONOMIES VOUCHERS DENATIONALIZATION INDUSTRIAL ENTERPRISES PUBLIC ENTERPRISES INFRASTRUCTURE SMALL ENTERPRISES CAPITAL ASSETS COMPENSATION BONDS INSTALLMENT PAYMENT TRANSITION ECONOMIES VOUCHER EXCHANGE PUBLIC OFFERING AFFILIATED ORGANIZATIONS ASSETS AUCTION AUCTIONS BID BIDDERS BONDS CAPITAL MARKETS EMPLOYMENT FACE VALUE HOUSING INSIDER TRADING LIQUIDATION MARKET VALUE OFFERINGS PRIVATIZATION PURCHASE PRICE REORGANIZATION TELECOMMUNICATIONS TENDERING TRANSITION ECONOMIES VOUCHERS DENATIONALIZATION INDUSTRIAL ENTERPRISES PUBLIC ENTERPRISES INFRASTRUCTURE SMALL ENTERPRISES CAPITAL ASSETS COMPENSATION BONDS INSTALLMENT PAYMENT TRANSITION ECONOMIES VOUCHER EXCHANGE PUBLIC OFFERING |
spellingShingle |
AFFILIATED ORGANIZATIONS ASSETS AUCTION AUCTIONS BID BIDDERS BONDS CAPITAL MARKETS EMPLOYMENT FACE VALUE HOUSING INSIDER TRADING LIQUIDATION MARKET VALUE OFFERINGS PRIVATIZATION PURCHASE PRICE REORGANIZATION TELECOMMUNICATIONS TENDERING TRANSITION ECONOMIES VOUCHERS DENATIONALIZATION INDUSTRIAL ENTERPRISES PUBLIC ENTERPRISES INFRASTRUCTURE SMALL ENTERPRISES CAPITAL ASSETS COMPENSATION BONDS INSTALLMENT PAYMENT TRANSITION ECONOMIES VOUCHER EXCHANGE PUBLIC OFFERING AFFILIATED ORGANIZATIONS ASSETS AUCTION AUCTIONS BID BIDDERS BONDS CAPITAL MARKETS EMPLOYMENT FACE VALUE HOUSING INSIDER TRADING LIQUIDATION MARKET VALUE OFFERINGS PRIVATIZATION PURCHASE PRICE REORGANIZATION TELECOMMUNICATIONS TENDERING TRANSITION ECONOMIES VOUCHERS DENATIONALIZATION INDUSTRIAL ENTERPRISES PUBLIC ENTERPRISES INFRASTRUCTURE SMALL ENTERPRISES CAPITAL ASSETS COMPENSATION BONDS INSTALLMENT PAYMENT TRANSITION ECONOMIES VOUCHER EXCHANGE PUBLIC OFFERING Nellis, John Finding Real Owners : Lessons from Estonia's Privatization Program |
description |
The Estonian government has quickly
privatized more than 90 percent of its industrial and
manufacturing enterprises. The Estonian privatization agency
batches 30-40 firms and advertises them for sale. The prime
goal is to find "real owners" capable of running a
durable, productive firm. Purchase offers are judged not
only on price, but also on the quality of business plans
submitted. In 17 sales, the Estonians have combined
strategic investment with voucher exchanges. An unresolved
problem is that the face value of the vouchers outstanding
far exceeds the likely value of assets being sold. This Note
concludes that Estonian privatization has been a success in
scope and pace. No private firm has yet failed, and the
privatization agency reports that most divested firms are
expanding their employment. However, these promising results
are tempered by the fact that the 70 privatized firms
experiencing problems with installment purchase payments are
only being admonished. But this problem, though significant,
is not overwhelming. |
topic_facet |
AFFILIATED ORGANIZATIONS ASSETS AUCTION AUCTIONS BID BIDDERS BONDS CAPITAL MARKETS EMPLOYMENT FACE VALUE HOUSING INSIDER TRADING LIQUIDATION MARKET VALUE OFFERINGS PRIVATIZATION PURCHASE PRICE REORGANIZATION TELECOMMUNICATIONS TENDERING TRANSITION ECONOMIES VOUCHERS DENATIONALIZATION INDUSTRIAL ENTERPRISES PUBLIC ENTERPRISES INFRASTRUCTURE SMALL ENTERPRISES CAPITAL ASSETS COMPENSATION BONDS INSTALLMENT PAYMENT TRANSITION ECONOMIES VOUCHER EXCHANGE PUBLIC OFFERING |
author |
Nellis, John |
author_facet |
Nellis, John |
author_sort |
Nellis, John |
title |
Finding Real Owners : Lessons from Estonia's Privatization Program |
title_short |
Finding Real Owners : Lessons from Estonia's Privatization Program |
title_full |
Finding Real Owners : Lessons from Estonia's Privatization Program |
title_fullStr |
Finding Real Owners : Lessons from Estonia's Privatization Program |
title_full_unstemmed |
Finding Real Owners : Lessons from Estonia's Privatization Program |
title_sort |
finding real owners : lessons from estonia's privatization program |
publisher |
World Bank, Washington, DC |
publishDate |
1996-01 |
url |
http://documents.worldbank.org/curated/en/1996/01/696805/finding-real-owners-lessons-estonias-privatization-program https://hdl.handle.net/10986/11640 |
work_keys_str_mv |
AT nellisjohn findingrealownerslessonsfromestoniasprivatizationprogram |
_version_ |
1807159856101064704 |