CITR and Prime Insolv Practice SPRL contributes to the development of metallurgy and facilitates the successful sale of the Dan Steel Group wire factory in Beclean, in bankruptcy, for 7.5 million euros

  • The buyer is local entrepreneur Ioan Teslaru through Intertranscom Impex SRL, welded mesh producer in Bacău
  • The sale took place at a public auction on January 25

The Dan Steel Group Beclean wire factory, one of the most important companies in the Romanian metallurgy industry, in bankruptcy, was sold at a public auction for 7.5 million euros to Intertranscom Impex SRL, manufacturer of welded mesh from Bacău. The new owner plans to restart production and to retransform the factory in one of the main employers in Beclean.

We have succeeded, following a comprehensive and rigorous process, to identify viable investors for one of the companies that played a key role in the metallurgy industry. Through this successful transaction, we set the stage for the continued efficient development of the metallurgy industry in Romania and we manage to save another important objective from the history of Romanian business,” said Andrei Besoiu, Sales Manager, CITR Cluj.

The factory sold is located at Strada Valea Viilor no. 3, in Beclean, Bistrița-Năsăud county. The asset is represented by the wire production factory for hard and soft wires, respectively derivative products from wire, welded meshes, nails, fence panels, barbed wire, and consists in 406,606 sq m of land, buildings and the associated equipment.

The CITR Cluj branch, together with Prime Insolv Practice, as judicial liquidators, successfully organized the public auction on January 25, 2024 at 2:00 PM, at the headquarters of Prime Insolv Practice SPRL, located in Bucharest, Aviatorilor Boulevard no. 52.

Founded in 1991, Dan Steel Group Beclean SA had as main activity the production of ferrous metals, in primary and ferroalloy forms (nails, galvanized wire, woven wire, welded mesh, panels etc.), intended for both the domestic market and the external market (Hungary, Poland, Serbia, Czech Republic, Slovakia). The products manufactured by the company were intended mainly for the construction and agriculture sectors, as well as for other branches of industry, which produced consumer goods. The decline in turnover began in 2017 when the decrease in business volume led to a reduction in working capital as well as to a significant increase in the degree of indebtedness. Last but not least, the measures imposed in 2018 by the European Commission on imports of certain categories of products belonging to the steel industry obliged Dan Steel Group Beclean SA to secure its raw materials from the EU, under much more onerous contractual conditions for it, and with advance payment, which created an additional pressure on the financial situation of the company which accumulated debts of over 35 million euros.

About CITR

CITR is the leader of the insolvency and restructuring market in Romania since 2008. With over 22 years of experience in the insolvency market and more than 1,100 projects managed over time, CITR administers an annual heritage of 1 billion euros and distributes over 100 million euros annually to creditors, in its mission to save value from Romanian companies with impact.

CITR is a company of Impetum Group, the first Romanian group dedicated to the mission of maximizing business value from any stage in the life of a company, with the aim of creating a positive impact on the economy.

About Prime Insolv Practice

Prime Insolv Practice SPRL is a dynamic team focused on diverse strategies particularly applied for each debtor in order to successfully complete the project and achieve the proposed goals. Prime Insolv Practice SPRL has demonstrated its capabilities as an administrator / judicial liquidator through the management of over 200 insolvency procedures applied to companies whose field of activity was specific to a variety of economic fields. Throughout its activities, Prime Insolv Practice SPRL pays particular attention to the analysis of the debtor’s activity in order to identify sources of recovery and the appropriate strategic options for the rehabilitation of the business, trying to obtain the consent of creditors and other interested parties, and when this is not possible, it offers optimal solutions for the liquidation of the debtor’s assets to cover the passive mass as much as possible.

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