Could a partnership between United Utilities and Berlinwasser International be on the cards?
Rumours have resurfaced about the possible entry of Berlinwasser International (BWI) into the Sofia water and wastewater concession. The 25-year concession was awarded to special purpose company Sofijska Voda in December 1999. Sofijska Voda is 25% owned by the city of Sofia through its municipal utility company and 75% owned by an investment holding company, which is a 50/50 partnership between United Utilities and International Water (IWL). In April 2002, IWL reportedly introduced BWI to the municipality of Sofia. According to a municipal source, the idea of bringing in BWI was prompted by the problems IWL was having in meeting its investment obligations and its desire to bring in a strategic partner. At the time, the discussions on how to accommodate BWI focused on a sale of the municipality’s 25% share in Sofijska Voda to BWI, followed by a redistribution of shares inside the new joint venture in the German group’s favour. “There is no official competitive procedure in Sofia at the
