Romania moves to take over bankrupt Mangalia shipyard for defence production

The government of Romania has approved an emergency ordinance stipulating that the state can legally take over the functional assets of companies declared by the executive as being of strategic interest, in bankruptcy, and that can produce for the defence industry, paying no more than the price established by their liquidation valuation report, according to Profit.ro. The move is said to target Mangalia shipyard, which the government seeks to involve in a joint venture with Rheinmetall, for SAFE naval orders.

At the end of March, the government declared Liberty Galați steel mill, Damen Mangalia shipyard, and Romaero aeronautical operator of strategic interest. Of the three, Damen Mangalia very recently went bankrupt. The most recent authorised valuation of the yard's assets established a liquidation value of EUR 87 million.