The Canadian energy company Magma Energy is said to be near completing a deal that would land it half ownership of Iceland’s HS Orka. If the deal goes ahead, it would be the first time a foreign company has owned such a large share of any Icelandic energy company. The Left Green Party representative on the board of state-owned Reykjavik Energy does not want the company to sell Magma the share – describing the move as a momentous step towards the privatisation of the energy sector.
Ross Beaty, the president and majority owner of Magma Energy said in an interview with Morgunbladid in July when his company took Geysir Green Energy’s 11 percent stake in HS Orka, that Magma did not want to control HS Orka.
Last Thursday the Sandgerdi local government decided to sell its 0.32 percent share in HS to Magma for 6.3 kronur per share – a total of ISK 125 million (USD 973,670).
Reykjavik Energy decided late last week that it would enter into requested negotiations with Magma for its 32 percent stake in HS Orka. If the deal goes ahead, Magma would own around 43 percent of HS Orka.
Iceland is known for its vast renewable energy resources.
“Iceland is known for its vast renewable energy resources”. And you should be a real professional to bankrupt such a country.
Don’t worry, Balkanson, they are real “pro”. This is a new breed of “managers” – they can crew up anything to make up books.
PS. looks like Canadians are trying to get over world. Magma is buying Opel from mighty Germans.
“PS. looks like Canadians are trying to get over world. Magma is buying Opel from mighty Germans.”
To be accurate, Opel is owned by General Motors and the americans have to sell Opel to Magna because GM screwed up.
To be accurate Opel is owned by GM but run by Germans and run well that’s why Magma buys it (but not Germans).
Alexander,
Before talking about accuracy, please get right the difference between MagMa (which is the subject of this articel) and MagNa (which is buying Opel). I cannot help that canadians do not have too much phantasy in inventing names :-)
I know you don’t like wiki but still:
http://en.wikipedia.org/wiki/Magna_International
>The Left Green Party representative on the board of state-owned Reykjavik
>Energy does not want the company to sell Magma the share
>describing the move as a momentous step towards the privatisation of the
>energy sector.
Isn’t it nice that Left Green show they ” princpals ” here yet when people that vote for them expect them to ( in EU joining and blocking original IceSave ” deal ” ) they do opposite.
Idiots.
Foreign capital is welcome. Of course there is good money to be made but the government still makes good money from privatized company — from that thing called tax.
With state ownership company will just stagnate and become usual ” jobs for the boys ” with the state appointees and all related corruption and nepotism.
Rather tax a successfull company that is growing because of private ownership than state be 100% owner with us tax payer paying for every thing of the company even if we dont use the service of the company.
Nationalization also always ends in stagnation and poor service, and high prices.
>Iceland is known for its vast renewable energy resources.
And in coming years for gas and oil ( and for shipping through arctic too ).
WOW!!! For fisy the dream will never end.