NOTICE: This tender has already expired.

FOREIGN GOVERNMENT NOTICE

PRIVATIZATION OF A GOVERNMENT OWNED ROSIN AND TURPENTINE FACTORY
SALE OF ASSETS AND LEASING OF LANDS & BUILDINGS

DATE OF FIRST PUBLICATION: MARCH 24, 2004

DATE OF RE-PUBLICATION: MAY 11, 2004

CONTACT ADDRESS:

MINISTRY OF FINANCE
HIS MAJESTY'S GOVERNMENT
SINGH DURBAR, KATHMANDU, NEPAL
PHONE NO.: 4259820, 4259993
FAX NO: 4257854

LAST DATE OF SUBMISSION: JUNE 2, 2004, 17:00 HRS. (NST)

SCOPE OF WORK:
OPERATION OF ROSIN AND TURPENTINE FACTORY

HS CODE: 38060000 and 38059000

TO PROMOTE PRIVATE PARTICIPATION IN THE NATIONAL ECONOMIC DEVELOPMENT, GOVERNMENT OF NEPAL HAS DECIDED TO PRIVATIZE NEPAL ROSIN AND TURPENTINE LTD. BY SELLING BUSINESS, MACHINES AND ALL OTHER CURRENT ASSETS AND BY LEASING ITS LANDS AND BUILDINGS FOR 10 YEARS. INTERESTED PARTIES ARE REQUESTED TO SUBMIT THEIR PROPOSALS. THE PROPOSAL SHOULD FULFILL THE FOLLOWING CONDITIONS:

1. INTERESTED BIDDERS MAY OBTAIN THE INFORMATION MEMORANDUM AND BID DOCUMENT FROM PRIVATIZATION CELL, MINISTRY OF FINANCE AFTER MEETING THE FOLLOWING REQUIREMENTS:

A. AFTER SIGNING THE CONFIDENTIAL AGREEMENT ATTACHED IN INFORMATION MEMORANDUM.

B. AFTER DEPOSITING NONREFUNDABLE NRS. 25,000.00 IN CASE OF NEPALI BIDDERS, AND USD 350.00 IN CASE OF A FOREIGNERS) IN THE DEPOSIT ACCOUNT NO. SA. AA. 131855/057 OF HMG/N, MINISTRY OF FINANCE AT NEPAL RASTRA BANK, THAPATHALI, KATHMANDU.

2. THE INFORMATION MEMORANDUM AND BID DOCUMENT INCORPORATES BUSINESS INFORMATION, BID DOCUMENTS AND DRAFT SALES AND PURCHASE AGREEMENT.

3. THE BIDDER OR HIS OFFICIAL REPRESENTATIVE MAY SUBMIT THE PROPOSAL TO THE PRIVATIZATION CELL, MINISTRY OF FINANCE, DURING OFFICE HOURS 9:00 A.M. TO 5:00 P.M., LOCAL TIME. A BID BOND WORTH NRS. 500,000 (APPROXIMATELY USD 7,000), WITH A VALIDITY OF AT LEAST 6 MONTHS, MUST BE ENCLOSED WITH THE TECHNICAL PART OF THE PROPOSAL.

4. THE BIDDER SHOULD SUBMIT FOUR COPIES EACH OF TECHNICAL AS WELL AS FINANCIAL BIDS TO PRIVATIZATION CELL, MINISTRY OF FINANCE, SINGH DURBAR, KATHMANDU. AMONG THE FOUR COPIES ONE COPY OF EACH PROPOSAL SHOULD BE MARKED AS "ORIGINAL." ALL THE DOCUMENTS RECEIVED WITH THE PROPOSALS SHALL BE CONSIDERED AS THE PROPERTY OF THE GOVERNMENT OF NEPAL. THE TECHNICAL AND FINANCIAL PROPOSALS SHALL BE SUBMITTED IN TWO SEPARATE SEALED ENVELOPES. THE FIRST SEALED ENVELOPE WILL BE CLEARLY MARKED IN THE UPPER RIGHT PORTION AS "THE PROPOSAL RELATED WITH THE TECHNICAL PART OF THE NEPAL ROSIN AND TURPENTINE LTD". SIMILARLY, THE SECOND SEALED ENVELOPE WILL BE CLEARLY MARKED IN THE UPPER RIGHT PORTION AS "THE PROPOSAL RELATED WITH THE FINANCIAL PART OF THE NEPAL ROSIN AND TURPENTINE LTD." BOTH OF THE ENVELOPES MUST CONTAIN THE NAME, ADDRESS, TELEPHONE NUMBER, FAX NUMBER & E-MAIL ADDRESS OF THE BIDDER AND HIS CONTACT PERSON.

5. THE LAST DATE OF SUBMISSION OF PROPOSAL IS MAY 7, 2004. THE TECHNICAL PROPOSAL WILL BE OPENED AT 2:00 P.M. ON MAY 8, 2004, IN THE PRESENCE OF THE REPRESENTATIVES OF THE BIDDERS. THE PROPOSALS WILL BE OPENED EVEN IF THE REPRESENTATIVES OF THE BIDDERS ARE NOT PRESENT. IF THE STIPULATED DAY FOR OPENING THE PROPOSALS HAPPENS TO BE A PUBLIC HOLIDAY, THE PROPOSALS WILL BE OPENED ON THE NEXT WORKING DAY.

THE PROPOSALS RECEIVED AFTER OFFICE HOURS ON MAY 7, 2004 WILL NOT BE ENTERTAINED

6. ALL THE EMPLOYEES OF THE COMPANY HAVE BEEN PAID OFF.

7. AS ALL THE LIABILITIES OF THE COMPANY PRIOR TO PRIVATIZATION HAVE BEEN ASSUMED BY THE GOVERNMENT, THE BIDDER HAS TO BEAR NO ADDITIONAL LIABILITY.

8. THE EVALUATION OF TECHNICAL PART OF THE PROPOSAL WILL BE BASED ON THE FOLLOWING CRITERIA:

BUSINESS EXPERIENCE OF THE BIDDER: 25

EXPERIENCE OF THE BIDDER IN RELATED FIELD (I.E. ROSIN AND TURPENTINE)
PRODUCTION AND SALE: 15
FINANCIAL CAPABILITY: 20
BUSINESS PLAN: 40
(CAPACITY DEVELOPMENT, RELIABILITY & QUALITY: 20
EMPLOYMENT GENERATION: 20)

TOTAL: 100

9. THE BIDDERS, FOUND TO BE SATISFACTORY IN THE TECHNICAL EVALUATION OF THE PROPOSALS, AS MENTIONED IN (8) ABOVE, SHALL BE LISTED, AS PRE-QUALIFIED BIDDERS, AND THE FINANCIAL PARTS OF THE PROPOSALS ONLY OF ENLISTED BIDDERS WILL BE EVALUATED. THE SALES AND PURCHASE AGREEMENT WILL BE SIGNED WITH THE BIDDER WHO HAS PROPOSED THE HIGHEST & MOST ATTRACTIVE PRICE. THE FINANCIAL PROPOSAL OF THE DISQUALIFIED BIDDERS WILL BE RETURNED BACK UNOPENED.

DETAILS REGARDING THE BID AND PROCEDURE FOR SUBMISSION OF THE PROPOSAL HAVE BEEN PROVIDED IN THE INFORMATION MEMORANDUM & BID DOCUMENTS.

FOR ADDITIONAL INFORMATION INTERESTED BIDDERS MAY CONTACT THE FOLLOWING OFFICE:

PRIVATIZATION CELL
MINISTRY OF FINANCE
HIS MAJESTY'S GOVERNMENT
SINGH DURBAR, KATHMANDU, NEPAL
PHONE NO.: 4259820, 4259993
FAX NO: 4257854