Government willing to support future KAP’s owner in line with law, its jurisdiction, economic policy

Podgorica, Montenegro (3 February 2014) – With a view to protecting interests of creditors in the bankruptcy proceedings and obtaining a better purchase price for the property of the Aluminum Plant Podgorica (KAP), the Government of Montenegro, in line with its conclusions of 16 January, is willing to provide support for the future owner of the KAP in accordance with the law and the Government’s economic policy, the press release issued on Monday by the Ministry of Economy states.

Government has recommended the area of the KAP, the Processing Plant and the Forging Plant to be defined as a business zone open for investment. In that context, the Government is willing, in line with the law and its authority, to support the process of issuing all necessary permits for the smooth continuation of activities and their possible extension, as well as for resolving the inherited property issues in order to protect creditors in the bankruptcy proceedings, achieve a better purchase price for the KAP’s property and provide developmental performance in this area.

Furthermore, the Government is prepared to negotiate with the bidder to be selected by the bankruptcy trustee through the tender process being conducted by the Commercial Court, the manner and pace of disbursement of funds, representing the Government’s claims of the estate, depending on the level of the planned investment and number of employees.

Given the nature of the bankruptcy proceedings, the Government calls for all the interested parties to address the bankruptcy trustee and discuss the issues arising from the jurisdiction of the bankruptcy administration, or to address the Government to discuss the matters within its jurisdiction.

The press release reiterates that the Government has taken this position in order to protect creditors in the bankruptcy proceedings and ensure a maximum purchase price for the property of the Aluminium Plant Podgorica.