Banks and bondholders are at loggerheads over Metinvest‘s debt restructuring, with talks becoming increasingly tense as lenders fight to have loan debt recognized as senior to Eurobonds, lenders involved in the negotiations said.
The debt owed by the State Fiscal Service to Metinvest international vertically integrated mining and metal group for value added tax (VAT) refunds for exported products reached 3.5 billion UAH and exceeds the defaulted debts of the holding to foreign creditors, Metinvest CEO Yuriy Ryzhenkov said.
Ukraine’s largest mining and metallurgical holding Metinvest has decided not to distribute the 2014 net profit of Northern Mining and Processing Works (SevGOK), Central Mining and Processing Works (CGOK), Ingulets Mining and Processing Works (InGOK, all based in Kryviy Rih, Dniepropetrovsk region) and Khartsyzsk Pipe Works (Donetsk region).
International vertically integrated mining and steel group Metinvest, owned by Ukrainian billionaire Rinat Akhmetov, has defaulted on its debt obligations, and the company is now in talks with its creditors, according to a company press release.
Ukraine’s mining and metal company Metinvest is holding consultations with lawyers on the possibility of postponing return of debts, Bloomberg news agency has reported, referring to its sources.
Metinvest Group’s metallurgical mills began to manufacture 19 products last year, bringing the total to 97 new items in 2010 to 2014. Revenue from the new products in the last four years amounted to $38.7 million.
Metinvest SMC, Metinvest Group’s wholesale and retail sales channel in Ukraine, opened a new warehouse to hold a buffer stock of pipe products and a retail metal center.
Metinvest has set up a trade representative in Spain – Metinvest Iberica. The company will be responsible for strengthening cooperation with Metinvest rolled steel consumers in Spain and Portugal and for services.
