Italian Partner Dumps Baltika Shares
One of the major investors in troubled clothing manufacturer Baltika, E. Miroglio Finance S.A., has sold all of its stock in the company, the Tallinn Stock Exchange has said.
The Italian textile firm had owned a 13.88 percent stake in the Baltika Group, or 4.97 million shares, as of the end of last year, Postimees reported.
It had picked them up as one of three investors taking part in Baltika Group's non-public offering in the summer of 2010. The other two were the East Capital and DCF Fund Baltic Investment Funds.
News of the sell-off comes barely a month after Baltika released fourth quarter results that put the group 5.9 million euros in the red for 2011.
The company, which produces clothing under the fashion brands Monton, Mosaic, Baltman and Ivo Nikkolo, was once the flagship of Estonian fashion production and export, but was hard hit by the economic downturn. It posted a 10.2 million euro loss for 2009 and a 6.3 million euro loss for 2010.
Steve Roman