Spanish seamless pipe supplier Tubos Reunidos (TR) has applied for voluntary administration, Kallanish notes.
The company said in a statement sent to the Spanish National Securities Market Commission (CNMV) that it had failed to secure either new financing or a strategic partnership aimed at developing the group's business.
"The board has taken note of the fact that due to the difficulties with the receipt of funds that have arisen in recent months, which have been compounded by the unintended suspension of operations at the Amurrio plant, TR is facing imminent insolvency," the company said in a statement.
TR emphasizes that the application for voluntary management submitted to the competent court in Alava applies to all subsidiaries of the group in order to protect the interests of creditors, employees, suppliers and shareholders.
TR's operations are still suspended after workers at the Amurrio and Trápaga plants went on indefinite strike.
Meanwhile, CNMV announced that it was immediately suspending trading of TR shares on the stock exchange and the stock market interconnection system.
Author: Todor Kirkov
Kallanish.com
