After the October 2016 approval of RAFO Onesti refinery’s insolvency request by the Bacau court, which had appointed Casa de Insolventa Transilvania (CITR) as the judicial administrator, the third oil refinery by capacity in Romania, will be put up for auction.
Romanian media report that the starting price stands at “$59.5 million including the VAT included (USD 70.8 million in total), following the market assessment”.
Romaniajournal.ro writes that “the refinery will not be ceded below the liquidation value of USD 29.75 million plus VAT, meaning 50 percent of the market value.
The purchaser has the obligation to carry out activities that are related to the object of RAFO activity for a period of minimum 5 years, in order to prevent the decommissioning of the entire platform.”
Based on estimations, thanks to the sale of the refinery’s assets at the market value, creditors are expected to get back about 57% of their claims…/IBNA