A multi-justice first instance court in the northern city of Thessaloniki on Monday postponed a hearing on a petition by Hellenic Steel for protection from creditors, under chapters 106b and 106d of Greece's bankruptcy code, for Jan. 29, 2018.
By V. Vegiri
A multi-justice first instance court in the northern city of Thessaloniki on Monday postponed a hearing on a petition by Hellenic Steel for protection from creditors, under chapters 106b and 106d of Greece's bankruptcy code, for Jan. 29, 2018.
The development comes after the coalition government officially informed the court of interest by an investor in acquiring the troubled steel mill, with the request made by a representative of the social security umbrella fund, EFKA.
Although not officially named by the government, reports point to interest by Jordan International, a previous customer of Hellenic Steel. The former established in October a subsidiary in Luxembourg, Hellenic Steel Acquisition Co. SARL, that is the plenipotentiary of Jordan International.
On Monday, a representative of Hellenic Steel's majority shareholder, ILVA, requested that the motion be heard, saying a prospective investor is awaiting the company's court-ordered protection from creditors. Besides owning a majority stake in Hellenic Steel, Italy-based ILVA besides is also owed 93 percent of the former's arrears, close to 80 million euros, meaning that its request for a continuation of the bankruptcy process means it behind the entry of a new ownership scheme.
Gruppo ILVA itself was recently purchased by the multinational ArcelorMittal Group.