Banini Kikinda on sale in March 2017 – Jaffa Crvenka interested in purchase

The Commercial Court of Zrenjanin has reached the decision for the property of the Kikinda-based confectionery factory Banini to be put up for sale on March 23, 2017, at the starting price of EUR 15 million, which is half of the estimated value.

According to unofficial information, several local and foreign potential purchasers are interested, and the most serious one seems to be the Crvenka-based company Jaffa.

The court has decided for the factory to be sold, as it has been in bankruptcy since April 2016 at the request of Societe General. The bank asked for the bankruptcy proceedings to be initiated so that it could collect its claims of around EUR 15 million, having no other option of collecting the money it had lent. Back in 2013, Banini offered a Pre-Packaged Reorganization Plan, but the creditors, banks above all, claimed last year that the plan had not been adhered to, causing Societe Generale to request the initiation of the bankruptcy proceedings.

The factory’s troubles started back in 2010, when it incurred debt with banks in order to raise a new facility in Teremijski Drum Street. High installment payments were soon due and kept increasing, and the factory’s growing debts finally led it to bankruptcy proceedings.

The bank’s account has been frozen for RSD 258 million since late 2016, and the owners and managers Radojko Stanic and Branko Malencic were accused of abuse of power and causing damage to the company and the state budget, with Stanic still being jailed.

Banini a.d. Kikinda

Jaffa a.d. Crvenka

OTP banka Srbija a.d. Novi Sad

Privredni sud u Zrenjaninu

confectionery factory Banini Kikinda

Jaffa Crvenka

sale of Banini Kikinda

Radojko Stanic

Branko Malencic

PPRP Banini

Pre Packaged Reorganization Plan Banini