The Slovenia Times

Bad bank sells wheel maker Liv Kolesa, paper reports


While the new owner, SPV Liv from Šmarjeta na Dolenjskem, has not revealed the sum it had paid for the takeover, it told the paper that the Dutch partner could move a part of its production to Postojna, where Liv Kolesa is based.

Franc Gregorčič of G4 Group told Primorske Novice that the activity of Liv Kolesa had potential, as it was a part of the global market, while the Dutch partner, which came from the same industry, had a good know-how.

"It brings some fresh air in the sense of marketing and know-how, and it is ready to move a part of its production from the Netherlands to Postojna," said Gregorčič, who is taking over at Liv Kolesa as the new director.

Liv Kolesa found its way out of red numbers two years ago, boosting sales revenue last year by 12% to EUR 14.2m, of which 85% was generated on the foreign markets. It finished 2017 with a net profit of EUR 24,000, which is slightly less than in 2016.

Primorske Novice notes that the company had found itself in court-mandated debt restructuring four years ago as it faced a drop in sales. It was acquired by BAMC via a debt-to-equity conversion, but it has since been trying to find a strategic partner.

Gregorčič explained that the company had almost settled all its obligations from the debt restructuring, adding that the new owner had also acquired from DUTB all financial liabilities amounting to around EUR 7.5m.

G4 Group, which is controlled by Gregorčič and his three sons, now owns seven factories in Slovenia and Croatia which primarily deal with processing of plastics and paper. The group has almost 1,000 employees, and its revenue will get close to EUR 100m this year.


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