Financially troubled Croatian food and retail group Agrokor reached an agreement with PAO Sberbank of Russia regarding the withdrawal of the lender's lawsuits against the company and the recognition of Sberbank's claims, Agrokor said March 21.
The parties agreed for Sberbank and its affiliates to withdraw litigation proceedings launched against Agrokor and its units, and for the receiver to recognize Sberbank's contested claims and put them forward for inclusion in an updated list of claims submitted to the Commercial Court of Zagreb.
Sberbank is the largest creditor of Agrokor, with the value of claims amounting to around €1.1 billion. In November 2017, the Croatian company's emergency administration recognized creditor claims worth 41.2 billion Croatian kuna, but Sberbank's claims were contested because the bank had begun legal proceedings against Agrokor in other countries to retrieve some of the loans.
Agrokor was put into administration in April 2017 and has until July to settle with creditors to avoid bankruptcy.
As of March 21, US$1 was equivalent to 6.07 Croatian kuna.