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Croatia's Uljanik slumps after court decides to open bankruptcy proceedings

Croatia's Uljanik slumps after court decides to open bankruptcy proceedings Author: Zagreb bourse. License: All rights reserved.

ZAGREB (Croatia), May 13 (SeeNews) - Shares in Croatian shipbuilding company Uljanik plummeted on Monday after a local court decided to open bankruptcy proceedings against Uljanik Shipyard, Zagreb Stock Exchange (ZSE) data showed.

Uljanik's [ZSE:ULJN] shares fell 26.67% to a close of 0.55 kuna after trading in them resumed at midday on Monday following a suspension in the morning pending the decision of Pazin commercial court.

The court's decision grants a request of Croatia's financial agency FINA submitted in March that is seeking the shipyard's bankruptcy over an outstanding debt of 28.2 million kuna ($4.3 million/3.8 million euro). Also in March, prime minister Andrej Plenkovic said the government cannot endorse a proposed restructuring of Uljanik shipyard, as the operation would require a huge financial exposure by the state.

The share indices of the Zagreb Stock Exchange (ZSE) closed lower on Monday.

Telecommunication services provider Optima Telekom [ZSE:OPTE] ended 3.57% down at 2.70 kuna.

Croatian shipping company Atlantska Plovidba [ZSE:ATPL] paced the blue-chip gainers, as its shares closed 5.3% higher at 298 kuna.

Another Croatian telco, Hrvatski Telekom [ZSE:HT], generated the highest trading turnover on the ZSE on Monday - 5.4 million kuna, including a 2.4 million kuna block transaction.

Electrical equipment manufacturer Koncar Elektroindustrija [ZSE:KOEI] also generated a sizeable turnover through a block transaction - 3.4 million kuna. 

ZSE's total trading turnover rose to 14.2 million kuna ($2.2 million/1.9 million euro), from 9.9 million kuna on Friday.

The 25-share benchmark share index CROBEX edged down 0.02% to 1,840.47 after falling 0.10% on Friday.

The narrower of the ZSE's two blue-chip indices, the CROBEX10, which tracks the leading companies in terms of free float, market capitalisation and liquidity, dropped 0.12% to 1,087.72 after closing unchanged at 1,089.04 in the previous trading session.

The fixed-income CROBIS index edged up 0.01% to 113.0867.

(1 euro = 7.40862 kuna)