Among SEPI's competences is that of privatizing the participations which it has in those companies which do not play any strategic role for this State-Owned holding company and which might be regarded as being able to be managed by the private sector.
In its capacity as a privatizing Agent, SEPI applies to each of the privatization processes the following basic principles:
- Publicity
- Transparency
- Competition
In each process the privatization method more suited to the interests and the characteristics of the company involved is applied:
- Public offer of shares
- Industrial sale, through a public call for bids
- Other systems (industrial sale + public offer, auction, other stock exchange deals)
Stages in the privatization processes:
- Selection of the external advisors (advisor and assessor)
- Advertisement of the start of the process
- In industrial sales, requirement of financial soundness in those taking part in the public call for bids, submission of bids with industrial plans and guarantees of meeting those plans
- Award with the authorization by SEPI's Board of Directors and the Council of Ministers
- Execution of the sale, through a contract and a public deed
SEPI carries out a follow-up of the execution of the industrial plans during the time they are in force, as well as of the commitments made by the Buyers (investments, employment,...)
Control bodies in the privatizations:
- Consejo Consultivo de Privatizaciones (Consultative Board for Privatizations). It issues a non-binding previous report about the fulfillment of the publicity, transparency and competition principles.
- Intervención General de la Administración del Estado (Office of the State Comptroller). It audits all privatizations.
- Tribunal de Cuentas (Court of Auditors). It audits privatization transactions.
- The Parliament. Communication of the disposal of more than 10% of the capital.
- National Competition Commission. It analyzes those processes which might affect competition.