Sibirsky Cement has paid out over EUR4m to the London branch of Netherlands-based ING Bank NV regarding a failed deal between the Russian producer and Italcementi for Turkish assets, according to local press reports.
In 2008, Sibirsky concluded an agreement with ING Bank to organize the purchase financing of the Italcementi Set Group of Turkey which is a subisidiary of Ciments Francais (which, in turn is a unit of Italcementi). The deal was not completed and the bank demanded compensation to offset the losses incurred.
In October last year, the London Court of International Arbitration upheld ING Bank NV’s motion and ordered Sibirsky Cement to pay over EUR4m to the bank. The Arbitration Court for the Kemerovo Region, where Sibirsky Cement is based, confirmed the London court’s decision.
Source: Prime News
