Swiss company 8B Capital, the tenant of the Steelworks, has paid Elektroprivreda (EPCG) €40,000 as part of its debt. EPCG will wait until the end of the month for any additional payments before deciding on further actions.
“We received confirmation of the €40,000 payment. We will wait another 15 days to see if the remaining debt is paid, and if that happens, we will discuss further steps with 8B Capital, with whom we terminated the contract,” said Miro Vračar, Executive Director of EPCG’s Production Department.
These further steps may include the possibility of signing a new lease agreement for the Steel Mill and Forging Plant on the same terms.
If 8B Capital does not pay its remaining debts, including worker salaries, EPCG will initiate legal action to recover the debt.
Under the lease agreement signed in July last year, EPCG can terminate the contract if 8B Capital fails to pay rent according to the agreement or within 45 days after receiving written notice of non-payment.
EPCG previously stated that they issued seven invoices for payment, with the rental debt amounting to €223,000 plus VAT, and employee transfer fees totaling €644,000.
The lease agreement required a monthly rent payment of €31,000, starting from October 1.
Regarding the workforce, 8B Capital was supposed to take on 150 employees within six months, but it did not hire any workers. Instead, salaries were paid by EPCG, with the workers engaged in the construction of solar power plants and concrete blocks.
The lease was signed for a 50-year period, with 8B Capital committing to invest €7.75 million within the first year and €36.85 million within five years of starting production.
