Government confirms preferred bidder choice

The government has accepted the adjudicating committee's recommendation to select Rimorchiatori Riuniti SpA as the preferred bidder in Tug Malta's share sale process, which started last September.

The government has a 73.72 per cent stake in Tug Malta.

Talks between the Privatisation Unit and the preferred bidder will start within the coming days, the Investments Ministry said.

Rimorchiatori Riuniti SpA is a company that provides towage and harbour services in the ports of Genoa and Salerno. Established in 1922, it also provides other special towage services and offshore activities including anti-pollution services, the ministry said.

Originally, 11 companies involved in towage and salvage operations had signed a confidentiality agreement with the Privatisation Unit and collected the Request for Proposals (RFP) document.

Tug Malta was set up in 1980 after a number of private companies that used to run a towage service were nationalised.

Over the past three years, the company underwent a restructuring process to upgrade its service to provide, for the first time, harbour towage in Valletta and the Freeport on a 24-hour basis, the ministry said.

Tug Malta took delivery of two new tug boats last year.