Electrometal retains 20 to 30 workers in production after bankruptcy

After the bankruptcy of Elektrometal, 20 to 30 workers will retain their jobs in production, while several in administration will assist the bankruptcy trustee in preparations for the sale of remaining assets, which is expected to follow the creditors’ assembly scheduled for December this year. This was decided at the meeting of the Creditors’ Committee on Thursday.

The bankruptcy of Elektrometal was declared by the Commercial Court in Bjelovar on September 19, and on the same day, in accordance with the Bankruptcy Act, 134 workers received termination of their employment contracts, with a one-month notice period.

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Meanwhile, four companies have expressed interest in renting Elektrometal’s production facilities in Bjelovar, explained bankruptcy trustee Franjo Otročak on Friday.

The Creditors’ Committee, which includes Erste Bank, HEP Elektra d.o.o. Bjelovar, Stanko d.o.o. Bjelovar, the City of Bjelovar, and a representative of the workers, accepted the offer from the Zagreb company Franc Mont, said the bankruptcy trustee, explaining that workers will continue with the production of fire doors, as well as assembly and installation work as before.

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The business problems of Elektrometal, which once had annual revenues exceeding 300 million kuna and employed more than 400 workers, resulted in a pre-bankruptcy settlement concluded in November 2013, which only became final in early 2017.

Thanks to the conversion of claims into shares, the largest individual shareholder became INA with a stake of about 30 percent, followed by the Republic of Croatia with a 24 percent stake.