Baltic States – CIS, Financial Services, Latvia, Legislation, Markets and Companies, Metals Market

Shamis said that the first payment of EUR 16 million was to be made right after the agreement was signed, with the rest of the purchase amount paid within 10 years. He also claims that the payment had 100% European financial institution guarantees.

''I respect the decision made by Latvia and the company's insolvency administrator. However, I do not see myself as losing this tender. As I am informed, an agreement on the sale of Liepajas metalurgs has not yet been signed. Until it is signed, there is always hope that the situation could change. My intuition says that the situation could change,'' Shamis points out.

As reported, The Ukrainian company KVV Group has won the Liepajas metalurgs tender and the right to acquire the metallurgical plant, as Liepajas metalurgs insolvency administrator Haralds Velmers told the press yesterday.

KVV Group has offered EUR 107 million, and Liepajas metalurgs must restore the production process already this year," Velmers said.

Since the end of August, Liepajas metalurgs continued negotiations with two final bidders – KVV Group and Luxembourg-based United Group, which belongs to Russian millionaire Igor Shamis. According to Velmers, the negotiations concerned the legal aspects of the deal, payment schedules, and the amount of the down payment. In choosing the buyer, the final amount and payment schedules were taken into account.