The court rejected the plan and terminated reorganization proceedings.

Based on a request from Balcia Insurance SE, the county court appointed a temporary trustee for Plusplus Capital.

This trustee is required to submit a report to the county court by November 29.

The company expressed dissatisfaction with these decisions and said it plans to appeal, adding that it is not permanently insolvent, meaning there are no grounds for declaring bankruptcy.

"AS Plusplus Capital is confident that the approval of the restructuring plan will be achieved, and there will be no need to substantively resolve the bankruptcy petition filed by Balcia Insurance SE," Plusplus Capital said via a press release.

The company also said a bankruptcy scenario would not satisfy creditors' claims as fully as the proposed restructuring would.

Plusplus works in debt collection in the Baltic states and in Finland, purchasing debts from telecoms companies, financial institutions, and other businesses.

The company raised funds for debt purchases by selling bonds, but after the outbreak of the war in Ukraine, these bond sales slowed significantly, fresh capital inflow stalled, and this led Plusplus into financial difficulties.

Last year, the company reported losses of nearly €30 million.

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