The board also proposes the sale of all real estate assets to pay off debts.
The propositions will be discussed in a general shareholders’ meeting scheduled for April 28.
The meeting agenda does not stipulate how many employees would be laid off following the shutdown of the two foundries. Mid-2013, Armatura had 224 employees.
Armatura is part of Austrian group Herz Armaturen and owns five production units.
At the end of last year, Armatura had debts of RON32.2 million, of which RON24.4 million to affiliated businesses, according to its preliminary earnings report sent to the Bucharest Stock Exchange in February.
The company had a turnover of RON22.9 million in 2013, up 16% on the year, and its loss narrowed to RON1.1 million from RON3.9 million in 2012.
Armatura shares have been suspended from trading since March 2013 when a lowering of its share capital was contested in court.