Bosnia's New Steelworks Zenica to receive emergency administration amid restructuring talks

The Cantonal Court in Zenica rejected an appeal concerning New Steelworks Zenica and scheduled a hearing on the introduction of an emergency administration. The government of the Federation of Bosnia and Herzegovina has proposed appointing an emergency manager, Sena Šaranović, to take control of the strategically important steel plant. A court decision on the matter is expected within the next few days, no later than 29 July, when the temporary measure halting the bankruptcy process expires. The plant, facing insolvency with creditors demanding hundreds of millions of convertible marks, is considered vital for the national economy and employment, prompting the government to offer to lease its facilities and seek a restructuring plan.

If approved, the emergency administration would aim to preserve production and jobs while preventing the plant from falling under the control of a creditors' committee during bankruptcy proceedings.