Ukraine’s largest lead plant declared bankrupt: what caused it
5 November 09:50
On October 25, the Economic Court of Donetsk Oblast declared Specialized Enterprise Lead LLC from Donetsk Oblast bankrupt and opened liquidation proceedings. This is reported in the court register, Komersant ukrainskyi informs
Assets and debts of the company
According to the results of the company’s inventory, the total amount of its non-current assets is UAH 29.47 million, represented by 581 units of various tangible assets. In addition, the company had UAH 249.5 thousand in bank accounts. The accounts receivable of the company amount to almost UAH 195.9 million, while the total amount of accounts payable significantly exceeds the assets and amounts to UAH 241.17 million.
According to an independent valuation performed by GEO FINANCE GROUP LLC, the total value of property assets of Specialized Enterprise Lead LLC is UAH 48.73 million, which does not cover the amount of payables.
Creditors of the company
The creditors of Specialized Enterprise Svinets LLC include several organizations, including Promsnab LLC, Transport LLC, and Donetskoblgaz represented by the Konstantinovka Gas Supply Department. The state tax authorities of Donetsk Oblast also made claims against the company.
Conclusions of the property manager and the court
The property administrator informed the court that the current financial situation of the company does not allow restoring its solvency. High payables combined with insufficient assets make rehabilitation measures inappropriate. In addition, the debtor has not received any proposals for rehabilitation.
The court, having examined the case file and heard all parties, concluded that the debtor’s lack of financial capacity does not allow it to continue its operations. In view of this, it was decided to declare Specialized Enterprise Lead LLC bankrupt and initiate liquidation proceedings.
History of the company
Specialized Enterprise Lead LLC was founded on the basis of the former lead production facility of Ukrzinc OJSC, one of the largest non-ferrous metallurgy plants in Konstantinovka, which began to decline in the 1990s. “Ukrzinc was declared bankrupt in 2023, after which a new enterprise, Svinets, was organized on its basis, specializing in the production of secondary lead.
“Specialized Enterprise Lead became the largest producer of secondary lead in Ukraine, using spent lead-acid batteries and other lead-containing waste as raw materials. In addition to lead-containing alloys, the company produced ferronickel, tin, and polypropylene. The products of the company were supplied to the domestic market of Ukraine and to the international markets of Asia, Africa, and Europe.
