Swedish court gives green light to Enviro restructuring

Gothenburg, Sweden — The Gothenburg District Court has ruled that Scandinavian Enviro Systems’ ongoing company reorganisation will continue, rejecting a request filed by Infiniteria to terminate the restructuring process.

In a 12 May statement, the Swedish end-of-life tire pyrolysis company said the court had decided the reorganisation “shall not be terminated,” allowing the process to continue as planned. 

Welcoming the decision, Enviro said it “allows the company to continue working on the measures required to ensure a long-term sustainable business.”

The ruling follows a legal dispute between Enviro and its ELT pyrolysis JV partner Infiniteria, which escalated earlier this year and led to Enviro moving to terminate the JV agreements. (ERJ report)

Enviro had argued that the agreements represented “burdensome and loss-making commitments” that prevented the company from achieving a sustainable business model.

In response, Infiniteria sought to end the restructuring proceedings and presented a preliminary damages claim of around €84 million.