One of the biggest Yugoslav companies declares bankruptcy

The former leading company for the production of cutting tools in former Yugoslavia was offered for sale at a starting price of a total of 789 million dinars (6.7 million euros).

After struggling with debts for many years, Fabrika Reznih Alata (FRA – Cutting Tools Factory) from Čačak has declared bankruptcy and today the Agency for the Licensing of Bankruptcy Trustees announced the first sale of the assets of the bankrupt debtor, grouped into two property units, via open bidding.

The company’s production hall, equipment and supplies are offered for sale in two property units. Plus, three hectares of construction land and 25 halls and workshops, with a total area of 18,076 square metres will be offered for sale at a starting price of 588 million dinars with a mandatory deposit of 235 million.

The second part includes office space in Dragiše Mišovića Street (17,626 square metres of land and five buildings with a usable area of 10,554 square metres), as well as part of the property in Kulinovački Polje (four buildings of 223 square meters). This part of the property is estimated to be worth 200.8 million dinars, and a mandatory deposit of 80 million dinars.

At the height of its operations, the company employed 4500 people and was the driving force behind Čačak’s development. It exported tools worldwide including to several American aircraft manufacturing companies. At a certain point, the company’s export exceeded 20 million dollars.

(Blic, 14.03.2023)

This post is also available in: Italiano

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