Romanian company Euro Insol was reinstated the judicial administrator of Romania’s largest energy production company Hidroelectrica, after the Bucharest Court of Appeal decided the company’s re-entry insolvency.
The Bucharest Court of Appeal has cancelled on Tuesday (February 25) the initial decision of the Bucharest Court, whereby the judicial reorganization procedure of the company was closed for procedural reasons.
“As a result, the case will be sent back to the syndic judge for a retrial. As a consequence, the company is placed back under the reorganization procedure and the former judicial administrator is reinstated with an immediate effect,” announced Franklin Templeton, the manager of Fondul Proprietatea, a shareholder in the company.
Hidroelectrica announced its insolvency exit in June 2013, a year after entering it, and Euro Insol handled the procedures, as judicial administrator.
According to Remus Vulpescu, a former member of the board with Hidroelectrica, the recent court decision means the planned stock exchange listing for Hidroelectrica will be postponed.
The Romanian energy production company recorded a profit of around EUR 109 million (RON 481 million) in the first half of 2013, compared to a loss of RON 202 million reported in the same period in 2012.
The Romanian State through the Ministry of Economy owns some 80 percent in Hidroelectrica, while a share of 19.9 percent is held by investment fund Fondul Proprietatea.
Irina Popescu, [email protected]