Zastava oruzje officially becomes owner of Zastava kovacnica

(Photo: bogdanhoda/shutterstock.com)

The Forgery Factory, which was bought by Zastava oruzje at the end of April this year, is now officially registered with the Agency for Business Registers as a company where Zastava oruzje has 100% shares.

- In Kovacnica a management structure which should appoint plant's management, and which will organize continuation of forgings production next week has been set up. In the meantime, business partners have been informed us that Kovacnica is no longer in bankruptcy, that is, that it has a new owner, and with many of them - both domestic and foreign ones, we already have contracted jobs, where 150 workers will be hired in the first place, who will sign a permanent employment contract. With an increase in production, we will also employ new workers - hewad of Zastava oruzje, Milojko Brzakovic, said.

Let us remind, April 24, Zastava kovacnica in bankruptcy, was acquired by Zastava oruzje at the initial price of EUR 3,43 m. It was said then that arm plant will pay Kovacnica with their own funds.

Shortly after that,p rime Minister Aleksandar Vucic informed the management of Zastava oruzje that, due to buying of Kovacnica, arm plant will receive from the Government of Serbia EUR 3 m more apart from already approved governmental investment of EUR 9.7m.

These additional three million in the factory, according to the latest official information, should arrive during the next month.