MOSCOW (MRC) -- La Seda de Barcelona SA:Says the Commercial Court No. 1 of Barcelona, in which the company’s voluntary insolvency proceedings are being processed, agreed to initiate the liquidation phase of LSB, said Plasteurope.
As a consequence, the court has resolved to suspend the powers of administration and disposition of the assets during the liquidation phase as specified in the Insolvency Act. The court approved dissolution of the company.
The court agreed on the cessation of the Board of the company and the suspension of its powers of administration and disposition of the assets. The court agreed to appoint insolvency administration.Says the insolvency administration is required to present the corresponding liquidation plan.
The court resolved to announce the initiation of the liquidation phase in the Public Register of Insolvency (el Registro Publico Concursal) and the Bulletin of the Judicial Office (Tablon de Anuncios de la Oficina Judicial).
As MRC informed previously, La Seda de Barcelona said in mid-June that it would begin insolvency proceedings after failing to reach a deal with creditors. La Seda had a debt load of just EUR600 million (USD800 million) at the end of 2012, including debt to providers. Catalonia-based had been in talks with its lenders since September last year after its business ran into trouble because of high raw materials costs and excess supply of the PET plastic containers that it makes.
La Seda de Barcelona SA (LSB) is a group of companies, involved in the manufacture and recycling of PET and PTA resins, industrial chemicals, preforms and biodiesel.
MRC