Potassium sulphate (SOP) producer Cinis Fertilizer based in northern Sweden has filed for bankruptcy with Ångermanland District Court.

The company’s wholly owned subsidiary Cinis Sweden AB has also filed for bankruptcy, said today’s statement.

In a previous update from early January, the company had warned of an immediate risk to its operations if a liquidity injection was not secured.

In its statement today the company said discussions had not resulted in any agreement and the company was now insolvent. “The board of the company has received indications that there are other parties that want to continue operations in another legal entity, but any potential takeover of the business and the terms thereof will be for the bankruptcy administrator to decide.”

“The board deeply regrets that it became necessary for Cinis Fertilizer to file for bankruptcy. The board has evaluated various courses of action and worked intensively to find a solution, but unfortunately, we have had the time against us and no agreement has been reached”, says Roger Johansson, Chairman of the Board of Cinis Fertilizer. “There is a need for Swedish production of mineral fertilizer, and our hope is that the bankruptcy administrator will soon find a good solution that ensures the continuation of the business.”