No bid to buy for Persepolis and Esteghlal. Privatization plans in tatters.

The Iranian government attempt to privatize the two most popular clubs in Iran , Persepolis and Esteghlal is hitting a brick wall.

The plan of privatization which goes back to at least a decade in earnest, was seriousely activated this year , but three attempts of auction has failed to attract any bids. No private investors or enterprises came forward with an acceptable deal to the government for buying the two clubs. Persepolis and Esteghlal,  for long years poorly managed and struggling in precarious financial situations, are far from the ideal venture for investors.

HEDAYATI’S CONTROL PLANS 

The most prominent interest came from Hedayati , the wealthy Iranian businessmen and owner of Steel Azin , but his organization’s bid did not pass the preliminary audit process and hence rejected. Hedayati , owner of several companies, seems to be in heavy debts. Hedayati’s attempt to circumvent his debt ridden organization created another entity under his 19 years old son’s name to bid for Persepolis. This  bid was not approved either.

The authorities were not too convinced that an organization which is headed by a teenager is the fitting establishment to run the most popular club in Iran and questioned the source of wealth of the teenager.

The fourth attempt to sell Persepolis and Esteghlal to private sector, will be carried out next Tuesday 19th May 2015.  There are no official bids to open so far much similar to the last one as the committee did not have any envelopes to open.

However, strong rumors are circulating around that the government is planning to hand over the two clubs to two major Iranian automobiles manufacturers.

IRAN KHODROW AND SAIP IN THE PICTURE!

Iran Khodrow and Saipa , both own football teams already , Peykan and Saipa. Both play in the top division, with mixed success. Peykan is struggling and is candidate for relegation comes next Friday. Sapia is faring much better but not considered one of the top Iranian teams.

This rumor seem to be strong enough to prompt the leader of a political faction in Iranian Majlis (Parliament)  to lodge a strong attack against the government plans of hand over.

“This plan does not make any sense and it is a big mistake if it goes through” Behrouz Na’amati  said .

” It is not their(the automobiles manufacturers)  business to run football clubs, beside both are already under debt themselves and operating on a very tonight and control budget.” The representative of Asad Abad who is also a member of executive committee, added that Majlis rejects the plans to sell the two clubs to the automobile manufacturers and has alternate plans of action for the government. Na’amati claimed that the automobiles manufacturers have not shown any interest whatsoever to buy the two clubs and hence they should not be forced into it by the government.

Both Peykan and Iran Khodrow are government owned.

 

MAJLIS NOT AMUSED BY THE GOVRNMENT

Meanwhile , the head of the sports committee of the Majlis, criticized the failed attempts by the government privatization calling it “Meaningless”

Mighdad Najaf Abad said “ If a plan of sales has been put forward for bids and it fails to attract any bidders , then there is something wrong with the whole proposal. Where in the world would such plan go on for the fourth time? How many times more will they try?”

Najaf Abad confirmed that the Majlis has an alternative plan regarding Persepolis and Esteghlal privatization which will hand to the government for action. “The government has failed to put a feasible plan so it is m=our turn now.”