Following this decision, the IIC will withdraw the file it has submitted at Romania’s Financial Supervisory Authority (ASF) in view of approving the acquisition of 100% of the insurer’s shares.
The IIC said Carpatica Asig’s situation was getting worse and the figures it was initially presented could no longer be used as a basis for the company’s subsequent revival. The IIC argued the implementation of a recovery plan entailed much more time. Therefore, the IIC Group made the decision to withdraw from the Carpatica Asig project.
Carpatica Asig was placed under a financial recovery plan in 2014. The company has initially failed to attract an investor in its shareholding structure by the deadline stipulated by ASF which decided to apply resolution measures at the beginning of 2016.
The financial situation of Carpatica Asig, controlled by businessman Ilie Carabulea, worsened after its owner and former general manager were placed under preventive arrest for corruption in January 2014.