Industry, Latvia, Markets and Companies, USA

International Internet Magazine. Baltic States news & analytics Wednesday, 17.04.2024, 19:09

Valmieras Stikla Skiedra fiberglass maker sells assets of US subsidiary for USD 17.5 mln

BC, Riga, 03.03.2020.Print version
P-D Valmiera Glass USA Corp., the US-based subsidiary of Latvian fiberglass producer Valmieras Stikla Skiedra, has signed a contract to effectively sell all its assets of its Phase I and Phase II operations in Dublin, Georgia, US, to Saint-Gobain Adfors America, Inc., according to the company's statement to Nasdaq Riga.

The total value of the deal is USD 17.5 mln (EUR 15.727 mln), plus additional consideration under the asset purchase agreement. 

The deal is still subject to approval of the US bankruptcy court overseeing the bankruptcy case of P-D Valmiera Glass USA Corp.

As reported, due to unforseen losses,  the US subsidiary was forced to stop its Phase II Fiberglass furnace operation effective as of June 17, 2019. More than 350 employees were made redundant as a result of the stoppage. 

In addition, the US subsidiary filed a voluntary petition for relief under Chapter 11 in the United States Bankruptcy Court for the Northern District of Georgia on June 17.

According to the company's statement to the Riga stock exchange, Valmieras Stikla Skiedra turned over EUR 114.245 mln in 2018, down 9.2% on year, and sustained a loss of EUR 114.711 miln in contrast to a profit generated in 2017.

Valmieras Stikla Skiedra group comprises the parent company Valmieras Stikla Skiedra and its three subsidiaries: Valmiera Glass UK Ltd. in the United Kingdom, Valmiera Glass USA Corp

Search site