Government Adopts State Guarantees for Shipbuilder Hrvatska Brodogradnja Trogir

trogir_brodogradiliste_07526 September 2016, VG Intelligence Weekly Issue 23

During the last telephone cabinet session, held on 21 September, the government adopted a decision approving state guarantees given on behalf of the Croatian Bank for Reconstruction and Development (HBOR), at the request of the domestic shipbuilding company Hrvatska Brodogradnja Trogir. The purpose of the guarantee is for the advance payment on behalf of the Finnish company Arctech Helsinki Shipyard. The amount of state guarantee given totals approximately €22.9 million. The aforementioned Finnish company paid, in advance, for the construction of a crude oil transportation tanker. The contract between both companies for the construction of the tanker was made on 19 July 2016. The advance payment made by the Finnish company amounts to €22.9 million, while the rest of the amount to be paid totals €5.7 million, and is to be paid within 45 days from the day of delivery of the tanker. The Hrvatska Brodogradnja Trogir currently has only one state guarantee in the amount of €26.7 million, to be returned this month. Brodotrogir Group totalled €5.52 million in profit in 2015, and is currently in the process of restructuring, which was approved by the European Commission…

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