In the compulsory settlement procedure of the company LIVAR d.d. the Higher Court in Ljubljana upheld the validity of the decision regarding the share capital increase, which is an integral part of the subsequent proposal of the compulsory settlement.
The Higher Court found that the contested decision regarding the share capital increase, as adopted by the Committee of Creditors with the Right to Separate Settlement, became final on 7 August 2020. The Higher Court therefore set aside the decision of the lower court, which in response to a claim lodged by a group of smaller creditors has ruled the decision regarding the share capital increase to be null and void. The claim by the said creditors has been rejected by the Higher Court in its entirety, and the decision of the Higher Court on the validity of the decision regarding the share capital increase is thus final.
Allow us to point out that creditors holding 81.8% of all voting rights have already voted in favour of the adoption of the compulsory settlement proposal (the required majority is 6/10 of all voting rights), while only one smaller creditor actively voted against the proposal. Based on the now finally approved decision regarding the share capital increase, the 14 creditors, who submitted a statement on the transfer of their receivables in the total amount of EUR 5.1 million to the debtor, will replace the current shareholders of the company LIVAR after the conclusion compulsory settlement procedure. Furthermore, the petitioners who instituted the proceedings have also subscribed and paid up an additional cash contribution in the amount of EUR 450,001. The total effect of the share capital increase thus amounts to EUR 5.55 million.
In the coming months, the company LIVAR hopes to successfully complete the compulsory settlement procedure as soon as possible and thus also complete the financial restructuring of the company, which shall lay a solid foundation for further business growth.