Government to Take Over COS Targoviste in Romania
Romanian Insider reported that the Romanian Government plans to take over the rebar maker COS Targoviste, formerly Mechel Targoviste, which has been under insolvency procedures since 2013, in exchange for its debt to the budget. The reorganization program, proposed by the company's main creditor, awaits approval from the other creditors. The Government has already prepared the legal procedures for taking over the plant by the Economy Minister.
The core assets of COS Targoviste were valued at RON 302 million. The environmental obligations, estimated at almost RON 28 million, are to be subtracted, as well as the VAT dues. Thus, the adjusted value of the core assets to be taken over by the state would be RON 217-241 million (EUR 44.4- EUR 49.5 million).
1973 - The first production capacities were ready - steel processing and forging
1975 - The name of the company became Special Steel Plant COS
1991 - The COST SA Commercial Company was established
2002 - The moment of privatization. Conares Trading AG Switzerland (later Mechel International Holdings GmbH) bought the majority stake
2005 - The name of the company became SC Mechel Targoviste SA
2013 - Majority shareholder of the company became MAZUR INVESTMENTS LIMITED Cyprus Company owned by INVEST NIKAROM SRL. The general insolvency procedure was opened in order to reorganize. Returned to the old name, COS Targoviste
2015 - Court confirmed the Reorganization Plan of the activity of COS TÂRGOVIŞTE SA & later sent it to judge for the continuation of the insolvency procedure
2019 - The court confirmed the Reorganization Plan of the activity of COS TARGOVISTE SA proposed by the creditor Alphard Financial Corp and voted by the Creditors' Meeting on 24.10.2019