PM: Gov't has enabled Petrokemija to continue operating in orderly manner

After meeting with the Management Board and Supervisory Board in the Kutina-based Petrokemija artificial fertiliser manufacturer, Prime Minister Andrej Plenkovic said that the government had found a solution for that company and announced that activities would continue in finding a strategic partner.

"The government has found a solution. We have agreed on a HRK 350 million loan with the relevant guarantees and in that way provided an opportunity for the company to continue normal production and to generate a revenue," Plenkovic said.

"After today's talks with the management and supervisory boards and union representatives, I understand that all those who responsibly manage the company agree that it is in the interest of the 1,600 people employed for the next phase, to find a strategic partner and inject fresh capital. In that way, we believe Petrokemija could be what it should be and that is one of Croatia's leading exporters," the prime minister said.

Petrokemija's management board chair, Djuro Popijac said that with the assistance of the government and institutions, the company had made the first step in resolving its long-term existence.

"Resolving the problem of liquidity opens the way and offers an opportunity to successfully complete the next step in the next few months and that is to inject fresh capital which then firmly guarantees that Petrokemija can be successful in the time ahead. By the end of summer-early autumn, we expect that process to be successfully completed," Popijac said.

Asked whether the situation in the Agrokor concern could impact Petrokemija, Plenkovic said that Petrokemija's successful operations and production provides  Agrokor and a series of its companies with the opportunity for production that generates income for Agrokor's companies too.

If Petrokemija is doing business well that is an advantage for Croatia's agriculture and companies involved in agriculture that are part of the Agrokor system, Plenkovic underscored.

Text: Hina

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