Boreli bankrupt – Company closed down due to debts and unresolved issues with Croatia’s Borovo

The shop windows and shelves in nearly 90 Boreli stores in Serbia are empty. After 15 years, Boreli has lost the privatization battle, and the Serbian heir to Borovo declared bankruptcy three days ago.

This was only the logical conclusion of events which started three months before, when the Commercial Court of Sombor had decided to initiate bankruptcy proceedings in the company. Some workers have already lost their jobs, whereas the rest of them are finishing their sometimes decades-long careers this week.

Boreli has struggled to be privatized for the past 15 year, and there were interested buyers from all sides, both locally and abroad. However, unresolved ownership issues with the parent company Borovo from Croatia (allegedly solved for years on the state level) cost the company, which produced and sold footwear until the end, its existence.

The bankruptcy proceedings in Boreli were initiated due to unresolved debts, which exceeded RSD 1.8 billion in July, and the blockage of the account in the amount of RSD 750 million.

The company, which started producing and selling footwear in 1997, has been shut down, more than 100 stores have been closed, and more than 500 workers have lost their jobs.

Boreli Sombor

Borovo d.o.o. Vukovar

Privredni sud u Somboru

Boreli Sombor

sale of footwear

production of footwear

Borovo Croatia

Commercial Court of Sombor

privatization of Boreli

Boreli bankruptcy proceedings

Boreli bankruptcy