RSS
Dan Steel Group Beclean will be sold at auction
Dan Steel Group Beclean wire factory, one of the most important companies of steel industry in Romania, which has been in a bankrupt state since the beginning of the year, will be sold at auction with a starting price of 25.9 million euros plus VAT. CITR Cluj branch together with Prime Insolv Practice, as judicial liquidators, will organize the auction on April 28, 2023.
The factory is located in Beclean, Bistrita Nasaud county, the active stock including a land of over 40 ha, buildings with a total area of 75,460 square meters and equipment.
The auction will take place on April 28, 2023, 12.00 noon, at the headquarters of Prime Insolv Practice, located in Bucharest, 52, Aviatorilor Blvd, apt. 1-2. Additional data about the auction can be found on http://sales.citr.ro.
Set up in 1991, Dan Steel Group Beclean SA had as main activity the manufacture of ferrous metals, under primary form and ferrous alloys (nails, galvanized wire, braided wire, welded wire, panels), for the domestic and foreign markets (Hungary, Poland, Serbia, Czechia, Slovakia). The products manufactored by the company were meant mainly for constructions and agriculture, as well and other industry brnches, which produced consumer goods.
The decline of the business figure as of 2017 when the reduction of the business volume led to the decrease of labor capital and the significant increase of debts. Last but not least, measures imposed in 2018 by the European Commission on imports of products in the steel industry compelled Dan Steel Group Beclean to obtain raw materials from EU in overwhelming conditions which created additional pressure on the financial situation of the company. Problems continued in recent years when the processing industry was affected by the rising price of energy and fuel, by supply difficulties, the reduction of orders and rising financing costs. The company accumulated debts of over 35 million euros.