proposal for the restructuring18 Dec 2013 14:57
Pekka Perä, the CEO of Talvivaara, comments in a bulletin.
“With the reorganisation process now beginning, we can also continue our metals production, which re-commenced last week after a one-month stoppage of our metals recovery plant.”
The metals production, Perä adds, was resumed successfully. “The leaching of new ore is also proceeding as anticipated.”
Lawyer Pekka Jaatinen of the law firm Castrén & Snellman was appointed as the administrator for Talvivaara Sotkamo. Jaatinen has also been appointed as the administrator for the overhaul of its listed parent company.
The objective of Jaatinen is therefore to assess whether it is possible to rehabilitate Talvivaara's business, to seek measures to address its problems and to draw up a restructuring programme. According to the court, Jaatinen must present its proposal for the restructuring of Talvivaara Sotkamo by 25 April 2014.
During the process, Talvivaara will be prohibited from conducting any significant business transactions, such as take on new debt for irregular activities without the administrator's approval.
The objective of the restructuring process is to rehabilitate the business of a temporarily distressed company. Ordinarily, the rehabilitation measures entail adjustments in the company's operations and, on the other hand, debt reductions.
http://www.helsinkitimes.fi/business/8726-court-backs-talvivaara-overhaul.html