Key Investments has declared itself bankrupt. According to the formal insolvency proposal, the debts of the company are ten times higher than the value of its assets. Representatives of Prague 6 and 10 are suing the company in what’s likely to prove a hopeless attempt to recoup hundreds of millions of crowns invested through Key Investments into shares in the bankrupt company E-side (which owns the Slavia Eden stadium).
The website of the weekly Týden reports that city representatives were warned at an E-Side creditors meeting that they’d never see their money again, while the new owner of E-Side, Natland Group, recommended they write off 70 to 90 percent of their investment and trade it for shares in the stadium. The two Prague districts each invested CZK 200m through Key Investments. Prague 13 was the only one which managed to recoup its CZK 206.8m investment through Key Investments.
