Crisis, Financial Services, Investments, Latvia, Legislation, Markets and Companies, Metals Market

So far, the sides have not expressed interest in Lipmans' offer to attract a strategic investor, explains the businessman.

Lipmans emphasizes that he has heard only discussion about the company's rescue, as opposed to actual action. The businessman believes that he himself, who saved Liepajas metalurgs from a crisis several years ago and has repeatedly offered a solution to the company's problems, should not be imposed "unjustified demands." The government must act to ensure bailout and prevent the squandering from continuing, adds the businessman.

As reported, the shareholders of Liepajas metalurgs have been told that they must either sell their shares or invest large amounts of money into the company by May 31.

Liepajas metalurgs creditors have decided to capitalize approximately one-half of the company's debt commitments (currently exceeding LVL 125 million) and become its shareholders.

The company's current shareholders will either have to sell their Liepajas metalurgs shares to the company's creditors for LVL 1, or invest LVL 10 million in the company each, in which case they will remain shareholders and, alongside the company's creditors, will continue to support and stabilize the company.