LJUBLJANA (Slovenia), April 2 (SeeNews) – The sale process for Slovenian manufacturer of car components Cimos Group will start in the autumn and is expected to be concluded by the end of next year, the company said.
With the outbreak of the financial crisis in 2008, Cimos found itself unable to refinance or settle its obligations, threatening the company's operations and development and forcing in 2013 to draft a restructuring programme.
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In a statement posted on its website on Wednesday, Cimos said that Ernst&Young has been selected to provide consultancy services in the sale process.
In the first stage, which is expected to take approximately three months, consultants will perform a thorough analysis of Cimos Group and prepare a sale strategy.
In April 2014, the European Commission said it launched an in-depth investigation to assess if 35 million euro ($37.6 million) of restructuring aid for Cimos Group complies with the EU state aid rules.
The aid for Cimos was approved in July 2013, after the company experienced financial difficulties resulting mainly from liquidity problem linked to considerable bank debt.
Cimos posted a consolidated after-tax loss of 122 million euro in 2013 as net sales fell 1.7% to 411 million euro.
The Koper-headquartered group manufactures mainly turbocompressor and turbine housings, powertrain components, chassis and car-body parts.
($=0.93 euro)