Sberbank files suit against Mechel, its subsidiaries seeking $412,000 in debt
MOSCOW, July 30 (RAPSI) – Sberbank filed a suit with the Moscow Commercial Court against the mining and steel giant Mechel and its subsidiaries to collect 24.6 million rubles (about $412,000) in debt, according to a statement released on the website of the court.
The co-defendants are MechelTrans, the Bratsk Ferroalloys Plant and Mechel Service. A third party is Izhstal, which is also controlled by Mechel.
Courts are hearing several Sberbank suits against Mechel and its subsidiaries. On July 20, the Moscow Commercial Court ruled in favor of Sberbank in its largest lawsuit against Mechel for 6.76 billion rubles ($113 mln) under a loan agreement signed on October 19, 2013.
Sberbank is one of Mechel’s three largest creditors, alongside VTB Bank and Gazprombank. But unlike these two banks, Sberbank is not satisfied with Mechel’s debt restructuring proposals it received in mid-April.
Sberbank CEO German Gref said they were not business proposals but declarations, in particular the debt-to-shares proposal. Sberbank later said it was negotiating the sale of Mechel’s debts to Russian investors.
The bank also said it would file for Mechel’s bankruptcy if it fails to pay its debts.
According to Mechel’s financial reports, its long-term liabilities as of late June increased to 95.968 billion rubles ($1.6bln) from 91.835 billion ($1.5bln) in late 2014. As of June 30, Mechel’s short-term liabilities amounted to 73.509 billion rubles ($1.23bln), up from 56.79 billion ($950mln) in late 2014.
Mechel is a leading global mining and metals company and currently the most debt-laden in the sector. It was established in 2003 and comprises over 20 companies that produce coal, iron ore, steel, rolled products, ferroalloys, heat and electricity.