Feb 24 (Reuters) - Ukraine-focused miner Ferrexpo PLC said on Tuesday a Ukrainian court had opened bankruptcy proceedings against its subsidiary Ferrexpo Poltava Mining and appointed an insolvency
Ferrexpo Subsidiary Faces Bankruptcy in Ukraine, Shares Tumble
Feb 24 (Reuters) - A Ukrainian court has opened bankruptcy proceedings against Ferrexpo's iron ore mining subsidiary in the country and has appointed an insolvency manager, the London-listed company said on Tuesday, sending its shares down over 29%.
The miner said Ferrexpo Poltava Mining would appeal the ruling within the statutory 10-day period, and that the management would remain in place and run the business during that time.
Impact on Ferrexpo's Financial Standing
But an appeal would not suspend the bankruptcy proceedings.
Shares of the miner fell as much as 29.7% to 50.5 pence, making it the top loser on the FTSE smallcap index.
In May 2025, the Commercial Court of Poltava had accepted an application to consider opening bankruptcy proceedings against the subsidiary.
Uncertainty Surrounding Bankruptcy Proceedings
Ferrexpo said on Tuesday the impact and timing of any bankruptcy proceedings remain unclear pending further court proceedings.
Ongoing Legal Challenges in Ukraine
Ferrexpo has been battling legal disputes in Ukraine since 2022, when its controlling shareholder, Ukrainian billionaire Kostiantyn Zhevago, faced allegations that he embezzled money from the now-bankrupt lender Finance & Credit Bank.
(Reporting by Atharva Singh in Bengaluru; Editing by Sahal Muhammed)
