Wind-up of DECYPAR,S.A.
11 December 2009 |
The Council of Ministers has agreed to authorize the state-owned industrial holding company Sociedad Estatal de Participaciones Industriales (SEPI) to proceed, through its affiliated company Empresa de Transformación Agraria, S.A. (TRAGSA), to the Wind-up of DECYPAR,S.A., through its take over by its parent company, the company Empresa de Colonización y Transformación Agraria, S.A. (CYTASA).
TRAGSA, in which SEPI has a majority stake, is specialized in providing fundamental services in rural development, the environment preservation, emergency reaction activities, and related issues. It is regarded as a tool and a technical service at the disposal of the Central Government and of those of the autonomous regions, as well as of their attached agencies with power to grant contracts.
CYTASA, whose registered office is in Paraguay, is wholly owned by TRAGSA, and its corporate goal is farming, stockbreeding and forestry, as well as farm production transformation, its marketing and rural promotion and development.
DECYPAR, S.A., a Paraguayan company, has a 99.99% participation by CYTASA, while the remaining 0.1% is owned by TRAGSA. It was incorporated in 1982 with the purpose of carrying out engineering and construction activities for the Paraguayan Administration, or working as a contractor for other companies in these activities.
The strengthening of TRAGSA as the Administration's own tool has meant that the activities which it carries out in other countries must be performed through a management commission of the Administration itself, and not in an autonomous way by the Company.
Since 2003 DECYPAR, S.A. has not submitted any proposal for public bids in Paraguay, both in a stand alone way or in consortia with other companies, and it put an end to its activities. Until May 31st, 2009 it has been performing the activities required for its winding-up, which will take place as a takeover merger by its parent company, CYTASDA. This system does not require a wind-up, which guarantees the continuity of the exercise of the rights and the fulfillment of the pending commitments.
SEPI's Board of Directors agreed on October 31st, 2009 to authorize TRAGSA to carry out, through its affiliated company CYTASA, to wind up the latter's affiliated company DECYPAR,S.A., through a takeover merger by DECYPAR, S.A. parent company, CYTASA, and to request the compulsory authorization of the Council of Ministers.