Metal recycling specialist Recylex (ex-Metaleurop), part of whose activities have been taken over by Belgium’s Campine NV, will be subject to a forced liquidation procedure. Campine NV had taken over since July 7 for a sale price of 4 million euros the lead and polypropylene recycling activities of Recylex, in difficulties for years, in Escaudoeuvres (North) and Villefranche-sur-Saône (Rhône), as well as the jobs associated with these sites, recalls a press release.
No more own billing
As of this “partial sale”, “Recylex’s activity was reduced to a holding activity consisting of the management of strong financial and environmental liabilities, as well as a 50% stake in the company Recytech SA” which is the subject of several pledges the company continues. .
Although Recylex remained in receivership to study a “debt restructuring solution”, it appeared that the company “no longer generated any turnover of its own, and its only income consisted of collecting dividends from the Recytech company” .
52.2 million euros of debt
Believing that the company “was clearly incapable of drawing up a draft recovery plan that would make it possible to meet its obligations”, the receivers applied to the Paris Commercial Court to convert the receivership into liquidation. European specialist in the recycling of lead, zinc and polypropylene, Recylex had asked in April to be placed in suspension of payments for not being able to reach an agreement with its creditors to restructure its debt. This amounts to 52.2 million euros, to which are added provisions for environmental risks and responsibilities for 16.2 million.
At the request of the company, the court opened a conciliation procedure in June 2021 between Recylex and its financial partners and creditors, in this case its historical shareholder Glencore International, the European Commission and SNCF Réseau.
63.3 million euros in fines in 2021
The former Metaleurop, which became Recylex in 2007, had been ordered in May 2021 to pay, together with the TotalEnergies subsidiary Retia, up to 63.3 million euros to SNCF Réseau for the restoration of the public railway domain in the Estaque sector. .
The group also owes 26.7 million euros to Brussels, a fine imposed for its involvement in an agreement on the purchase price of used car batteries, from 2009 to 2012, with three other companies in the sector. But the discussion procedure, conducted under the guidance of a conciliator, ended in failure.
Financial difficulties
These harsh financial blows sealed an already difficult situation for the industrial company, affected by the drop in metal prices but above all by the difficulties of its German subsidiaries. The group had largely based its outlets on these subsidiaries, a choice that became problematic when its German foundry faced major industrial difficulties, with a new furnace never working as planned, draining investment and cash. Recylex had thus lost control of its four German entities in 2020, which were to be the subject of a safeguard procedure before the German courts.
Source: BFM TV
