site.btaMedia Review: November 7

US PRESIDENTIAL ELECTIONS

The news of Donald Trump being the apparent winner of the US presidential elections is widely covered by Bulgarian media.

Mediapool: European leaders were quick to assure the winner of the elections Donald Trump of their readiness to work with him for, as French President Emmanuel Macron put it, "more peace and prosperity". But behind the façade of swift congratulations lies a fear of division on issues ranging from trade and environmental policy to support for Ukraine and preserving NATO.

Dnevnik quotes The Guardian as reporting that Trump’s rival in the elections, Kamala Harris, has called him to congratulate him on winning. The phone call officially puts an end to the fierce rivalry between the current US Vice President (Harris) and the former US President (Trump). A Harris campaign aide said that the Vice President has underscored the importance of a peaceful transfer of power and being a president to all Americans.

“Melania Shines in a USD 4,000 Dolce & Gabbana Suit,” reads Trud’s headline. The article praises the looks of the former and future first lady, recalling her career as a model.

24 Chasa: Trump not only won the battle for the White House, but also got richer by USD 1 billion, according to CNN. Elon Musk, who is among the business leaders who supported the former US President’s campaign, also got richer by USD 12 after Trump won the elections. Trump Media’s shares went up by 35% on Wednesday, while Elon Musk’s TESLA shares saw an increase of 13%.

“American Voters Decided – Donald Trump Back in the White House,” reads Bulgarian National Radio’s headline.

Duma: President Rumen Radev congratulated Donald Trump on his election victory. "I am confident that our effective dialogue at the highest level will continue to the interest of the strategic partnership between the USA and Bulgaria," Radev said.

ECONOMY

Bulgarian National TV: The owner of the oil refinery in Burgas - the company "Litasco", denied having a buyer for Lukoil Neftochim.

The company believes that the information published in the Financial Times about talks with a Qatari-British consortium is inaccurate and that journalists from various media have not approached the company for comment.

The company explained that no talks were held with the alleged buyer and that there had been no communication with the Russian central government on the issue.

However, the company recalls that the analyses of various options for the development of the company's business in the country are continuing, and a consultant has been hired for this purpose. 

Capital runs an extensive story on the topic. The Russian energy group Lukoil is about to sell its largest asset in the Balkans to a dubious Qatari-British consortium. At least, that is how the Financial Times report sounds, citing sources and a letter to Russian President Vladimir Putin, from whom the deal was awaiting his blessing. The refinery in question is Lukoil Neftochim Burgas, which is also Bulgaria's largest company by revenue.

The publication claims that a consortium between Oryx Global, controlled by Qatari businessman Ghanim bin Saad al Saad, and London-based commodities trader DL Hudson has been selected as the preferred buyer. And also that Lukoil's desire is to have a deal done by the end of the year.

As is often the case with unofficial information about deals, not all was exactly true and subsequently, albeit two days late, the company itself issued an official disclaimer. The version that Capital put together from its own sources is quite different. In short, there is a sale procedure and it is at an advanced stage, but in fact not only the refinery is being sold, but the entire business of the Russian group in the country in a package. Binding offers are expected by the end of November, so at this stage no one has been chosen and the final decision on whether a deal will go through and with whom, will likely me made early next year, with finalisation also taking more time to get regulatory approval.

It is no secret that Lukoil is selling under pressure from the Bulgarian authorities, so a change in the local or global political situation could change the plans. The refinery has been an extremely profitable business over the past few years and the company may just beat around the bush and fake an exit.

And the bidder mentioned by the FT did express interest at an earlier stage, alongside dozens of others, but dropped out before the data room and due diligence opportunities opened up. And in fact, there were nearly a dozen willing bidders left at the final stage, excluding financial investors, but including strategic international players with oil resources to supply the refinery, and players with other core businesses.

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Capital: "Global Pizza Chain Papa John's Enters Bulgaria"

The first three outlets in Sofia are due to open by the end of the year, after which expansion to other cities is planned. The company plans to open three sites in Sofia by the end of 2024 and offer fast delivery. By the end of 2027, it expects to have more than 20 Papa Johns pizza restaurants in Sofia and other major cities. Bulgarian management also holds the franchise rights for Romania.

"Papa John's plans to open three sites in Sofia by the end of 2024, as well as to offer fast home delivery," Vladimir Todorov, Papa John's general manager for Bulgaria and Romania, told Capital.

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A supplementary agreement for the delivery of five more new electric multiple-unit trains was signed today at the Ministry of Transport by caretaker Minister Krasimira Stoyanova and the Chairman of the Board of Directors and Chief Operating Officer of Skoda Transportation and Skoda Vagonka Petr Novotny.

The agreement is in addition to the contract signed in September this year for the supply of 20 electric multiple unit trains.

"Today I have the pleasure to thank Skoda Transportation and Skoda Vagonka for the quick response and good organization to sign the additional agreement for the delivery of five more multiple unit trains," said Minister Stoyanova.

"The new additional five electric multiple-unit trains will meet the same characteristics as the 20 under the main contract. They are designed to reach speeds of up to 160 km/h and have a minimum of 300 seats," Minister Stoyanova said.

HOME SCENE – IBRYAMOV’S ARREST AND RELEASE

The release from custody of Dzheyhan Ibryamov late on Wednesday is covered by the media. Ibryamov, who was elected MP from the Alliance for Rights and Freedoms, was release at around midnight, bTV reported. He is charged with trading in influence and the case was suspended by the prosecution office. He was released from custody to be sworn in as MP.

NOVA TV: On Monday, the Sofia City Prosecutor's Office will again request that Ibryamov's immunity is lifted. The supervising prosecutor will make a proposal to the acting Prosecutor General to start the procedure before the new National Assembly.

Ibryamov was released from custody because the prosecutor's office lifted his detention order to allow him to take the oath of office as an MP in the new 51st National Assembly. The moment he takes oath, Ibryamov receives new immunity and, according to the Criminal Procedure Code, the criminal proceedings should be suspended, the prosecutor's office recalled.

After Ibryamov is sworn in, the supervising prosecutor will suspend the criminal proceedings and make a proposal to the Prosecutor General to request the National Assembly to authorise the continuation of the investigation.

After a ruling by the National Assembly, the criminal proceedings will resume if the immunity is lifted and so the investigation can continue, the Sofia City Prosecution Office added.

GERMANY – SCHOLZ GOVERNMENT

The Bulgarian media also covers extensively the latest developments in Germany, where Chancellor Olaf Scholz sacked Finance Minister Christian Lindner, paving the way for possible early elections next year.

Mediapool: German Chancellor Olaf Scholz on Wednesday sacked his finance minister Christian Lindner, leading to the collapse of the ruling coalition. Lindner himself is the leader of the liberal Free Democratic party that is part of the coalition. Thus, Germany is heading towards early parliamentary elections, which will probably take place in March next year.

According to ARD, Scholz wants to hold a vote of confidence in January 2025, which could trigger new snap elections in March. The broadcaster's information was later confirmed by Scholz himself in an extraordinary press statement.

At dusk, Scholz made a sharp statement, lashing out at Lindner. He said that he had made him an offer at noon on Wednesday, but that he had refused it. The most contentious issue in the talks had to do with how to fill the huge hole in the 2025 budget before the crucial budget committee meeting on November 14, and how to restore growth to the weakened German economy, which faces another year of recession.

Scholz confirmed that he will ask for a vote of confidence in the Bundestag by 15 January so that early elections can be held by the end of March 2025. The regular vote for the federal parliament is due on 28 September next year.

Bulgarian National TV: Late last night [Wednesday], German Chancellor Olaf Scholz announced that he will ask for a vote of confidence on January 15 next year. This could open the way for elections by the end of March, Scholz added.

The chancellor had previously sacked Finance Minister Christian Lindner amid crisis negotiations over the budget.