THE BRATISLAVA I District Court accepted the request to start the restructuring process in the construction company Váhostav. The decision has already been published in the Business Bulletin and it is not possible to appeal against it, the SITA newswire reported on October 8.
Váhostav asked the court for protection from creditors and to launch the restructuring process on September 26. This will allow the firm to deduct part of its debt, thanks to which it hopes to avoid bankruptcy, and to succeed in its attempts to get the bankruptcy proceeding against it launched on September 16 halted. The company claims the restructuring process is the only way for its rescue.
Based on the court decision from September 29, which was published on October 6, Váhostav proved its solvency.
“Váhostav was under the pressure of creditors for the past few months, while several motions to start bankruptcy proceeding against the firm have been submitted [to court],” said Miroslav Moravčík, head of the company and chair of the board of directors, as quoted by SITA.
Moravčík added that it will be important to improve the condition of the firm, not only towards the creditors, but also towards itself. During the restructuring process the company will have to be under the supervision of the court and the creditors. It will have to pay its commitments towards suppliers and employees on time.
“We will simultaneously continue in already-started constructions, while we also want to get new orders in order to secure the employment,” Moravčík added, as quoted by SITA.
The firm claims its problems were party caused by abolishing the public-private partnership (PPP) projects and crisis in the Slovak construction sector.
“The company wants to agree on settling existing commitments so it will be possible to cooperate with most of its suppliers also in the future,” Váhostav’s spokesperson Tomáš Halán recently told SITA.
Váhostav-SK currently employs about 1,300 people.
Compiled by Radka Minarechová from press reports
The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.
8. Oct 2014 at 14:00