Subsidiary of Privatization Agency of the Republic of Latvia SIA FeLM continues holding talks with investors on the sale of assets of insolvent metallurgical company KVV Liepājas metalurgs, says FeLM board chairman Jānis Rībens.
“Talks continue with multiple investors. FeLM assesses offers from all investors, including offers regarding sale of separate assets. In accordance with principles of confidentiality, FeLM cannot reveal names and offers of specific investors,” says Rībens.
He adds that binding offers on procurement of all assets have not been submitted as yet. However, there have been offers to purchase specific assets.
According to unofficial information, one of the investors interested in KVV Liepājas metalurgs assets is Russian-born businessman Igor Shamis, who had previously offered to purchase the entire company.
Another investor that was previously interested in buying the company – UK’s British Steel – went bankrupt in May.
As it is known, FeLM has taken over KVV Liepājas metalurgs’ largest remaining asset – electric steel welding furnace.
In March 2018, Austrian Smart Stahl GmbH won KVV Liepājas metalurgs’ organized auction of smelting workshop’s movable equipment with it offered price EUR 1.57 million (without VAT).
Last year’s electronic auction for the sale of KVV Liepājas metalurgs’ owned electric steel-melting furnace was declared failed, because none submitted any offers. The initial price of aforementioned equipment was set at EUR 5.35 million.
It was also reported that Economy Ministry, Investment and Development Agency of Latvia, Liepaja City Council, Administration of Liepaja Special Economic Zone and FeLM signed a memorandum of intention at the end of August regarding development of an industrial park in Liepaja to ensure efficient use of KVV Liepājas metalurgs historic territory.
KVV Liepājas metalurgs was declared insolvent in September 2016. (Db.lv/Ukrainian metal)
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