The only valid offer received in the public invitation for the sale of the corporate shares of the company “3.Maj 1905” from Rijeka is that of the Iskra shipyard from Šibenik (controlled by the eponymous Slovenian group), confirmed the Center for Restructuring and Sales, the Croatian government body in charge of the disposal of the shipyard.
The fact that a binding offer for an amount slightly higher than the requested one (6.6 million euros), with suitable guarantee, was submitted was also confirmed to the local press by the President of the Management Board of the Šibenik shipyard, Roko Vuletić. The offer is valid for 120 days.
“Iskra has demonstrated, taking Šibenik as an example, that it knows how to restructure its business and manage a shipyard with quality. We are aware that ‘3. Maj 1905’ represents a much greater challenge. Due to the poor condition of the infrastructure, investments are needed, overhead and operational costs are high, and there is a lack of quality long-term contracts. However, we believed that in Rijeka there is strong support for shipbuilding and that within the company there is a core team ready for change,” stated Vuletić. “We are convinced that at least one large shipyard can operate successfully in Croatia.”
Vuletić expects that before the contract signing, all risks for the investor stemming from the bankruptcy of the old company “3. Maj”, from the lawsuit against the Republic of Croatia regarding the transfer of ownership of the current concessionaire, and from the temporary measures required by the Commercial Court of Rijeka that prohibit the transfer of shares, will be legally clarified.
The bankruptcy trustee of the old “3. Maj” contests the way the Croatian state gained control of the company through debt compensation. The trustee has asked the Commercial Court of Rijeka to provisionally block the transfer of shares of the new shipyard, creating an uncertainty that will have to be resolved before any sales contract. Currently, only the judge in charge has been appointed, while the timing of the procedure remains open. The Center for Restructuring and Sales has 120 days to make a final decision, the same period for which the Iskra offer remains valid.
The Croatian Government allocated an emergency one-million-euro loan in the summer for repairs and equipment, while the industrial plan aims for continuity of collaboration with Scenic (Australia) and probably military construction.
The Iskra group, controlled by the Šešok family, is active in several industrial sectors and in recent years has consolidated its presence in Croatia with a series of acquisitions. The entry into shipbuilding began in 2019 with the takeover of the Šibenik shipyard, saved from bankruptcy and returned to profit with about 180 direct employees and up to 70 external collaborators.
