SNCM in receivership
This decision has been long thought over since the majority shareholders of SNCM, Transdev and Veolia, had wanted to file for bankruptcy for some time in order to place the company in receivership and thus ensure its survival. Last Friday, Transdev had announced at a supervisory board meeting that it would demand the repayment of 103 million euros in loans and 14 million euros from Veolia on Monday. However, the Corsican company is unable to repay its debts given its financial situation. This situation will therefore trigger a court-ordered recovery for cessation of payment.
Cancel the reimbursement of public aid
Putting the company into receivership is not a trivial decision because according to the French state âeuros shareholder at 25% - and the main shareholders âeuros shareholders at 66% - it would allow to cancel the European condemnations to repay the public aid considered illegal, a total amount of 400 million euros. But also to find a new shareholder to be able to take over a company free of all debts. Apparently, 5 or 6 European shareholders are interested in taking over the Corsican shipping company. " There are several (potential) buyers, about five or six, serious companies from different European countries, who are currently looking at the SNCM file explained Jean-Marc Janaillac to the microphone of France Info. He added " There are companies that today have officially declared their interest, there are companies that have informally declared their interest ."
Following the judicial liquidation of SNCM, the company's assets will have to be auctioned off and a redundancy plan should concern the 1,508 permanent employees.
Call to order by the European Court of Justice
This Tuesday, November 4, SNCM was to make a declaration of suspension of payments before the Commercial Court of Marseilles in order to be able to start the judicial recovery and the search for buyers. However, the appeal filed by France to cancel the reimbursement of fines imposed by Brussels on the shipping company has no suspensive effect. France will therefore have to recover the state aid wrongly received by SNCM when it was privatized in 2004, i.e. a first refund of 220 million euros. The second refund of 220 million euros, which concerns financial compensation paid between 2007 and 2013, is currently under appeal at the request of France and the Corsican company and should not be answered before 2016.
