“Oltchim” signed with „Chimcomplex” Borzeşti the asset sales agreement for packages 1-5 and partially 7 and “White Tiger Wealth Management” withdrew from the auction, according to the announcement sent to the Bucharest Stock Exchange. Also, Oltchim signed with Dynamic Selling Group SRL the asset sales agreement, regarding the asset package no. 6.
The nine asset packages put on sale by the chemical plant are: the soda factory, the oxoalcohol factory, the polyol factory, the perimeter services, 1.000 wagons, PVC processing, petrochemical/PVC, Bradu refinery and the phthalic anhydride plant, according to Bursa. Thus, Chimcomplex’s desired packages are the Chlorosodic Package, the Oxi-Alcohol Package, Polyols, Land Services, Wagon Package, and the VCM/PVC Package. White Tiger Wealth Management held talks on asset packages no. 1, 3-5, 7, 8 and partly no. 9, but the fund refused to sign it and announced the unilateral withdrawal from the transaction.
Further discussions are held with other tenderers from those who have submitted binding offers, said the company, adding: “The completion of transactions under these agreements is subject to certain conditions that must be met, including the final approval by the General Assembly of creditors of the Company, this body finalizing the selection of the winning bidders. Important information and other binding offers will be presented to creditors in the context of the Sale Process for informational purposes.
The company will continue to inform the market about the Sale Process in accordance with the applicable regulations until its completion, which is expected to take place in the first half of 2018. “Oltchim entered into insolvency proceedings on January 30th, 2013, and the consortium of Rominsolv SPRL and BDO Business Restructuring SPRL was appointed as a judicial administrator.
In 2016, the Romanian state put Oltchim on sale part by part, with nine asset packages. The decision to change the privatization method came in the context as the European Commission launched an investigation regarding a possible atate aid for Oltchim in April 2016 and reported that it believed that the sales process as outlined in the reorganization will lead to an economic continuity between Oltchim SA and a possible buyer of Oltchim SPV (a company without debt, 100% owned by Oltchim SA and intended to be sold to an investor).
Oltchim’s turnover in the first half of this year was 105,8 million euros (480 million lei), representing a 2,21 increase compared to the one obtained in the first semester of 2013 (when the company was insolvent), according to of a current report sent to the BSE. Also, the net result in the first half of 2017 registered an upward trend compared to the first half of 2013, respectively, from a loss of 33,6 million euros to a profit of 6,1 million euros.