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Serbia's Nelt to acquire factory of insolvent Magnohrom in Kraljevo

Author Radomir Ralev
Serbia's Nelt to acquire factory of insolvent Magnohrom in Kraljevo Author: Ken Teegardin. Licence: Creative Commons, Attribution-ShareAlike 2.0 Generic.

BELGRADE (Serbia), March 22 (SeeNews) – Serbia's Bankruptcy Supervision Agency said it accepted the bid of logistics company Nelt Group for the acquisition of the electrothermal products factory of the insolvent producer of fire-resistant materials Magnohrom in Kraljevo.

Nelt group placed its 98 million dinars ($1 million/828,000 euro)  bid during an auction for the sale of assets of state-controlled Magnohrom held on March 21, the Bankruptcy Supervision Agency said in a statement on Wednesday. 

The agency also accepted a 24.8 million dinars proposal from Serbian company Malbex WBI for the purchase of a brick factory of Magnohrom in Kraljevo. 

No bids were placed for Magnohrom's factory for the production of fire-resistant materials, chrome, magnesite and dolomite mines in Gornji Milanovac and Zlatibor, as well as plots of land in Kraljevo, Cacak, Cajetina and Gornji Milanovac, the agency added.

Earlier this week, Serbian prime minister Ana Brnabic said she hoped the tender for Magnohrom assets will attract investors wishing to open jobs and develop production activities.

Kraljevo commercial court declared Magnohrom insolvent in September 2016, when the company's outstanding liabilities totalled 4.1 billion dinars.

(1 euro = 118.378 dinars)