The Commercial Court of Kyiv opened proceedings in the case of bankruptcy of Diesa LLC, which owns the Eldorado.ua chain of stores. Information about this appeared on the website of the Supreme Court.
The decision was made two years after the creditors filed an initiative to start the bankruptcy procedure. During this time, the company twice tried to approve a rehabilitation plan, i.e. financial recovery, without opening a case, but both attempts were canceled by the court.
The plan provided the postponement of a significant part of debts to creditors and the tax authorities until compensation for damages caused by Russia’s aggression is received. However, the court considered this condition as not having a clear deadline. This created uncertainty, because the refund depended on an event over which the company had no influence.
Although the document specified deadlines — “ no later than the 60th of a calendar month” for ordinary creditors and “no later than the 36th of the calendar month” for the tax office, the court recognized them as formal and conditional. Moreover, the plan allowed for a meeting of creditors to extend the deadline if compensation from Russia was not received. This actually made the terms unfavorable for creditors.
In addition, the plan did not provide for the appointment of an independent remediation manager, and control over its implementation remained in the hands of the general director “Diesa”. Creditors also pointed to the presence of unreliable data in the document, in particular about the company’s financial condition, its unprofitability since 2020 and questionable receivables to related entities.
The court appointed the arbitration administrator Ivan Bandura as the administrator of the company’s property. In “Diez” the full-scale invasion of Russia is called the reason for the accumulation of debts.
Eldorado.ua, owned by “Diesa” LLC, is a network of household appliances and electronics, founded in 1999 as a Ukrainian branch of a Russian company. Since 2013, it has been legally operating as a Ukrainian company. By the beginning of 2023, the chain had 95 stores throughout Ukraine, the head office is located in Kyiv.
