Gredelj closes $100 mln deal in Iran

The Zagreb-based Gredelj rolling stock company has closed a deal in Iran for the repair and upgrade of various types of locomotives and passenger carriages with a total value of more than 100 million dollars, the Croatian Chamber of Commerce (HGK) reported on Friday.

"We prepared concrete projects for the largest Iranian companies in the rolling stock business," Gredelj's bankruptcy trustee  Pero Hrkac said upon returning from Iran.

Hrkac underscored that bankruptcy proceedings in Gredelj had been completed and now the company was intensively participating in an open market competition.

He added that during the period of sanctions against Iran, Gredelj had intensively prepared itself for that market.

"The condition for us to be successful on the foreign market and definitely close this valuable deal is that we are supported by the Croatian Bank of Reconstruction and Development (HBOR) and other financial institutions. Financial collateral is a must for any serious business which is something the state has not facilitated for exporters until now," Hrkac said.

HGK President Luka Burilovic called on government institutions, ministries and HBOR to join forces in assisting entrepreneurs to breakthrough onto foreign markets.

"Together we will certainly be more efficient. Economic diplomacy has to come to life and be in the service of the Croatian economy," Burilovic said and added that in the past Gredelj's business was limited due to politics meddling in its business.

Gredelj, the HGK said in a press release, has for the past four years been doing business in poor conditions on the global and domestic market and with the burden of its own restructuring and bankruptcy proceedings.

Last update: Fri, 20/05/2016 - 16:42

More from Business

IMF raises China growth forecast, but warns of sharper slowdown

China's economy will expand by 6.5 per cent this year, the International Monetary Fund said on Monday, as it warned...

Trump's warning to German carmakers hits shares

Shares in German carmakers tumbled on Monday after incoming US president Donald Trump threatened the industry with...

Report: Ex-Volkswagen head knew about scandal two months before

Former Volkswagen chief executive Martin Winterkorn knew about the company's emissions scandal two months earlier...

Takata to pay 1-billion-dollar criminal fine over defective airbags

Beleaguered Japanese car-parts supplier Takata has agreed to pay a criminal penalty of 1 billion dollars, and three...

India's SpiceJet to buy 205 Boeing jets in 22-billion-dollar deal

Indian budget airline SpiceJet will purchase 205 planes worth 22 billion dollars from US manufacturer Boeing, one of...