On the Bucharest Stock Exchange Monday, Flamingo shares were suspended from trading twice. Before the second suspension at GMT0935, Flamingo shares were traded at 0.0185 lei (EUR1=RON4.2477), down 14.75% on the day, at around GMT0933.
ING Bank Romania decided last Wednesday to initiate foreclosure against Flamingo following the company’s failure to observe a bilateral agreement signed on November 4 to restructure a loan the retailer contracted from ING back in 2001.
Flamingo International was founded 15 years ago and is one of the major players with over 80 stores countrywide.
The company reported a consolidated turnover of RON269.1 million in the first nine months, down 48% compared with the similar period a year earlier. Its January-September losses stood at RON62.4 million, significantly wider than RON14.8 million in the same period of 2008.