LJUBLJANA (Slovenia), July 14 (SeeNews) – The shareholders of Slovenian manufacturer of car components Cimos Group have accepted the binding offer submitted by Verona-based fund Palladio Finanziaria for the company's acquisition, as the deal is expected to be signed by September 9, Slovenia's 'bad bank' DUBT said.
"Palladio Finanziara has concluded an agreement with the sellers' consortium on exclusive negotiations, within the framework of which it shall complete the final activities necessary for signing the share purchase agreement (SPA) on September 9, 2016 at the latest," DUBT said in a statement on Wednesday.
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The SPA must be drafted and accepted by August 4, while all commitments with bilateral banks must be completed by September 2, DUTB noted.
"I am more than glad that we reached this crucial milestone as a result of strong commitment and dedication from all participants. Cimos has come a long way and made great progress in restructuring its activities in past years, and this transaction, when completed, will open a new chapter in its development," DUTB's CEO Imre Balogh said in the release.
The shareholders of Cimos - DUTB with a 47.5% share, the Slovenian government with a 24.26% stake and lenders NLB with 9.44%, Gorenjska Banka with 5.74%, Abanka Vipa with 2.42%, Nova KBM with 2.2% and SID Banka with 0.74% – said earlier they plan to sell a combined 92.3% of the company's shares.
Cimos is currently in the process of restructuring, as apart from weak business performance the company is faced with a lawsuit over outstanding debt to a Croatian bank.
In June last year, the European Commission approved the company's restructuring plan, saying it will allow it to become viable again in the long-term without needing further state support and without unduly distorting competition in the single market.
The Koper-headquartered group manufactures mainly turbo compressor and turbine housings, power train components, chassis and car-body parts. Cimos has a production footprint in four countries across Southeast Europe.