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October 21, 2021

Letea Bacau to go bankrupt in three-month time

Romania’s sole producer of newsprint is living the last months of its existence. Businessman Dumitru Sechelariu, who owns the Letea factory, says he will seek a buyer in the next three months, and if nobody appears, he will declare bankruptcy, Realitatea.net announces. Sechelariu wants EUR 20 M for the paper producer. “I had talks with four investors, but nothing came out of it. It’s like nobody is willing to invest in Romania. I was asking EUR 50 M, but now I’d sell it for just 20, debts included. Do you think EUR 20 M is too much for a factory and 45 hectares of land?” said the businessman. He has kept the factory closed and employees on technical unemployment for over a year, but even so, the company still generates costs which Sechelariu cannot sustain anymore.Letea Bacau company has debts worth EUR 7.5 M to banks, ANAF and utility providers. Before declaring bankruptcy, the owner hopes authorities will approve his request for a government guarantee that would allow him to take a bank loan. If this happens, he will restart operations, because “there is enough demand in the market.”

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