Restart Energy One, a Romanian provider of renewable energy solutions with two bond issues listed at the Bucharest Exchange, announced in a note to investors that it is entering into a preventive arrangement to avoid insolvency. Its bonds were recently temporarily suspended from trading amid an investigation conducted by prosecutors involving the company’s founder, Profit.ro reported.
As of April 22, both bonds are again traded at the Bucharest Stock Exchange.
The company cites a temporary lack of liquidity caused by delays in collecting receivables.
“Restart Energy One is currently experiencing temporary financial difficulties, mainly caused by delays in the collection of receivables, difficulties in the acceptance of works with public institutions, and a temporary lack of liquidity. This situation affects cash flow management, and we wish to address it promptly so as not to impact the company’s ability to meet its obligations to customers, suppliers, financiers, and investors in equal measure. Restart Energy One remains committed to providing green, responsible, and digitized solutions for its customers. The request for the preventive composition procedure has been filed with the Timis Court. We will return with details after its resolution,” the company says in the press release.
The bonds of Restart Energy One, part of the Restart Energy group of Armand Domuta, were temporarily suspended from trading on the stock exchange on March 28, after 15 people, including Domuta, were taken for questioning in a case regarding money laundering through cryptocurrencies and fraudulent withdrawals from ATMs.
The trading resumed later in the day after the company said it was not directly involved.
The bonds were issued by Restart Energy One (REO), a company in the same group as Restart Energy Democracy (RED), a company that, around 2018, promised to totally change the energy market as we know it and raised USD 30 million through an IPO for this.
iulian@romania-insider.com
(Photo source: Restart Energy)