Insolvent Oltchim is on sale after being split into nine pieces of assets

Petrochemical plant Oltchim from Ramnicu Valcea, which is insolvency since January 2013, has been put on sale after being split into nine pieces of assets and the selection process of investors will be closed at the end of this year according to news.ro.

“Oltchim will launch a competitive process of selling assets to the company, grouped in more packages, currently the company taking into account nine of this assets packages,” says a release of Oltchim.

The interested investors can submit letters of motivation for any or all the assets packages until September 30. According to News.ro “The buyer(s) selection will be made based on the economic value of the offer, the selection process being estimated to be finished until the end of this year. “

The Romanian state owns a share package of 54.8 percent in the company. Since Oltchim entered into insolvency, it went through a reorganization process, according to a plan elaborated by the judicial administrator, focusing on the payment of the previous liabilities from the revenues for a future privatization. The public creditors of Oltchim accepted total or considerable annulment of the liabilities, considering that the sale price will not cover all the debts.

“Today, the company announced its sale intention through assets packages and I hope that until the end of the year, Oltchim will have a committed offer. Although it’s in insolvency, the financial situation of Oltchim improved, which gives us hope in finding an investor, therefore for a sustainable future of the economic activity of the company in the market conditions. The maintenance of the industrial activity from Ramnicu Valcea and keeping the workplaces are priorities for us, “ says the minister of Economy, Costin Borc.

Borc supports the transparency of the sale process and still holds an open dialogue with the European Commission for clarifying old problems of the company to offer judicial security to the potential investor, according to the Ministry of Economy.

The judicial administrator of Oltchim is lawyer Gheorghe Piperea.