ZAGREB, 18 March (2022) - Fortenova Group said on Friday that the process of due diligence had been launched regarding the possible sale of an interest in the company, declining to reveal further details.

Fortenova Group can confirm that due diligence regarding the possible sale of a stake has started but it cannot comment on any details, the group said in reply to a query from Hina.

Fortenova Group executive director Fabris Peruško said on Thursday he expected the Russian state bank Sberbank to sell its interest in Fortenova Group.

The Russian bank, which holds a 40% stake in Fortenova Group, is the group's biggest single shareholder.

The possible sale can be considered a consequence of sanctions Russian banks have been exposed to due to the Russian aggression against Ukraine. Another Russian bank, VTB, holds a stake in Fortenova as well, of 7%.

The Jutarnji List daily issue of Friday says that talks are presumably being held with several potential buyers. According to unofficial information available to the daily, the Hungarian investment fund Indotek Group, majority-owned by one of the wealthiest Hungarians, Daniel Jellinek, is seriously interested in buying the stake.

Indotek Group is a financial conglomerate owned by Hungarian and US investors, specialising in real estate, financial services as well as logistics and transport.

Fortenova Group d.d. was established in early April 2019 following a successful settlement between Agrokor food retailer's creditors. The group has more than 50,000 employees and operates in three core activities: agriculture, retail and food, as well as non-core operations.

For more, check out our business section.

ZAGREB, 11 March 2022 (2022) - The Croatian Metal Workers (SMH-IS) on Friday called on the government to urgently help the Đuro Đaković Termoenergetska Postrojenja (TEP) company so that it can operate normally, while its business is currently affected by the fact its owner is a Russian added to the sanctions list.

The president of the Independent Trade Unions Federation, Mladen Novosel underscored that the unions are aware of the situation in Croatia as a consequence of the conflicts in Ukraine.

The war has resulted in many problems for Croatian companies with the increased price of energy.

The Đuro Đaković TEP is one of those companies faced with problems, with Novosel saying the company is in an absurd situation.

"It has a market to operate on, the EU market. It has concluded contracts. We respect the sanctions against Russia but we appeal to the government to urgently intervene. We know it is aware of the problems and is trying to do something," underscored Novosel.

We appeal for this to not remain simply on goodwill but for the government to urgently decide to exclude Đuro Đaković TEP from the sanctions and to make it possible for the company to do business as usual and thus save more than 1,000 jobs in Slavonski Brod, he added.

SMH-IS union leader Siniša Kosić underscored that they are not seeking financial assistance from the government but to be allowed to work.

"The company's business operates in the EU with EU funds and resources, and the only thing is that it is owned by a Russian and cannot get to those resources without the management board. That is an absurd situation. The government is aware of this but is too slow to react. The company has money, workers and jobs but workers could easily end up on the dole," warned Kosić.

He underscored that if the company's accounts do not cease to be frozen  and the company is not taken off the sanctions list, that could be the end of it and that must not happen.

"There has to be a model. We do not operate on the Russian market. We expect the government to act faster. If it managed to resolve the issue with Sberbank in two days then it can at least resolve this problem in two weeks," added Kosić.

Deputy union leader Antun Štivić underscored that Đuro Đaković has the highest revenue in the county and employs 872 workers and additionally about 200 sub-contractors.

The company's director Ivica Marić said that he was in constant contact with the government and Ministry of Finance and that they are "actively working on trying to find a solution."

"I expect a solution sometime during the day to unfreeze our money and to unblock the company's work," said Marić.

He added that it might be possible to separate the company's operation from the owner.

"The company operates according to Croatian laws and operates exclusively in the EU and for the EU. All the suppliers are from Europe and there is not business contact or transactions with Russia, Belarus or Ukraine," underscored Marić, adding that sanctions would be strictly adhered to.

For more, check out our business section.

March the 6th, 2022 - All Croatian property owned by entities close to the Russian Federation's regime have been frozen in response to the recent Russian invasion of neighbouring Ukraine.

As Morski/Stipe Majic writes, at a working lunch held with the ambassadors of the European Union (EU), Croatian Prime Minister Andrej Plenkovic clearly condemned the continued Russian aggression against Ukraine, and announced the sanctioning of all persons and real entities related to the Russian regime who own Croatian property, as reported by the Anadolu Agency (AA).

In Zagreb, Plenkovic participated in a working lunch with the Ambassadors of the European Union member states to the Republic of Croatia, hosted by the Ambassador of the French Republic Gael Francois Veyssiere on the occasion of the French Presidency of the Council of the European Union.

After the working lunch, Frano Matosic, State Secretary of the Ministry of Foreign and European Affairs (MVEP), said that Croatian Prime Minister Plenkovic had informed the gathered ambassadors of EU member states about Croatia's views on the current situation in Ukraine.

Matosic pointed out that the condemnation of the aggression against Ukraine is unquestionable by all EU member states, including Croatia, and that support was expressed for the state leadership of Ukraine and the Ukrainian people, while condemning the policy of the Russian Federation.

Matosic said that just before lunch, the Croatian prime minister visited the Plitvice Motel, where Ukrainian refugees are currently being housed, to welcome them and told them that Croatia was open to accepting them, providing adequate education for their children and employment opportunities for adults.

Matosic said that Croatia's sanctions would be directed at the very top of the Russian Federation, especially at oligarchs close to Vladimir Putin's regime and all "those who raised their hand for the independence of self-proclaimed republics in eastern Ukraine."

''Croatia has a clear list compiled within the EU. These are 702 entities, of which about 650 are natural persons, and the rest are legal entities located on the MVEP website. We will sanction them in such a way that these assets (Croatian property owned by them) cannot be sold or provide any benefit. Their Croatian property will not be confiscated, but frozen in accordance with all rights,'' Matosic said.

He emphasised that there are intensive efforts underwat to identify the Croatian property owned by persons and legal entities close to the Russian regime, which are subject to a joint agreement on sanctions.

For more, check out our politics section.