Deal on steelworks sale signed in Liepaja

The contract for the sale of Liepajas metalurgs, the insolvent steelmaker and one of Latvia’s largest manufacturing sector employers was signed Thursday between the firm’s bankruptcy administrator Haralds Velmers and winning bidder Ukrainian company KVV Group, KVV representative Inese Ozoliņa told information agency LETA.

“Today marks the close of a critical step in the sale of Liepajas metalurgs,” Velmers said after the signing.

“We’ll do all we can this month to hand off the assets to the new owner so that the company can get back to work as fast as possible. This is great news for the people of Liepaja and the Latvian enterprise sector as a whole,” he announced.

On his part KVV Group owner Valeriy Krishtal said the signing marks a new phase in the life of his company.

“I can attest that the sale process was organized at a highly professional level on the part of the state. In our best case scenario we’ll be ready to resume production by November. The first phase will launch two shifts producing 35,000 tons of product per month. The required number of workers to staff these shifts would be around 500, which should increase accordingly as capacity grows,” the owner said.

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