SOS Corporación Alimentaria has denied that it is facing liquidity problems after former executives used a EUR200m (US$280.7m) company loan to buy shares.
SOS’s former chairman and deputy chairman, Jesus and Jaime Salazar, were dismissed at the end of April after it emerged that they planned to use a company loan to buy SOS shares and sell them to a sovereign wealth fund.
Responding to speculation that the company could be divided or put up for sale in order to fill the financial hole left by the fraudulent dealings of its former executives, the company denied that it is near financial collapse.
“The company is not up for sale and it hasn’t got any liquidity problems,” a spokesperson for the Bertolli olive oil maker told just-food today (7 July).
Credit Suisse is currently advising SOS on financial restructuring, including a EUR200m cash call and possibility of fresh investment.