“Krasny Oktyabr” refuses from Zelezara Smederevo

The Serbian Iron-and-Steel plant Zelezara Smederevo, in which UralVagonZavod and “Krasny Oktyabr” were interested in within the period from 2012 to 2014, American Esmark Steel Group is to purchase. Russian investors have failed to agree with Serbia. Belgrade does not agree with the reduction of staff and termination of the blast furnace.

Esmark Europe B.V., a structure of the American Esmark Steel Group, has turned out to be the only claimant on the purchase of 80% shares of the Serbian metallurgical plant Zelezara Smeredevo, The Minister of Finance of Serbia, Dusan Vujovic asserted on January 9th (the plant is 100% state-owned). He hopes the agreement with the company will be signed before the end of January. According to the Serbian Blic, Esmark promised to invest $400 million into the plant before 2020. RIA Novosti stated, citing the head of the tender board, B.Bojkovic that two more proposals have not been considered because of non-observance of the terms of the tender.