OREANDA-NEWS. May 30, 2007. An investor to settle the crisis at Motovelo will be found soon, First Vice Premier of Belarus Vladimir Semashko told in an exclusive interview with BelTA, reported the press-centre of  Gomelinvest.

He noted that there are two bidders for the Motovelo shares. Vladimir Semashko did not name them saying that it was a commercial secret, but said that they were Belarusian and Russian investors. “Both of them are able to put the company back on track,” the First Vice Premier said. The President of Belarus demanded the situation at Motovelo be improved in August at the latest.

Vladimir Semashko stressed that Motovelo requires huge investment both in production facilities and technologies. At the same time, the company survived due to the state support under presidential decree #645 of December 30, 2005. “Otherwise, the company would have closed down a year ago,” the First Vice Premier said. He admitted that “now the situation is still difficult”. Investments are needed to revamp the production facilities, set up the sales network, launch production of new goods. An investor should preserve the company’s profile and trademark and it is expected to produce bicycles and motorcycles. The plant also plans to launch production of scooters. Tens millions of dollars are required for these purposes. There is great demand for scooters in Belarus.

Vladimir Semashko also said that the government was also trying to improve the situation of another loss-making company Luch. In the near future a session of the Presidium of the Council of Ministers will be dedicated to the issue. “We have to evaluate the situation at the company and decide what to do with it next,” Vladimir Semashko said.

Motovelo was founded in November 1945. The company produces bicycles, motorcycles, sports and cargo power buggies, exercise bicycles, wheelchairs, spare parts thereof.