(MENAFN- AFP) The board of Spain's troubled flagship renewable energy giant Abengoa has approved a recovery plan to avoid bankruptcy by selling assets in the biofuels sector, the group said Tuesday.
One of Spain's leading lights in sustainable energy, Abengoa has been racing against the clock to avoid one of the country's biggest ever bankruptcies amid reports it needs 90 million euros ($95 million) of emergency liquidity by the end of the month.
The world player in solar and wind power, biofuels and water management filed for protection from creditors in November and has until March 28 to find a solution to its colossal debt, which stands at nine billion euros at least.
"The Abengoa board agreed to carry out negotiations on restructuring its debt and on the means necessary to continue its activity in a competitive and lasting way," the group said in a statement published overnight Monday to Tuesday.
The company will "concentrate on its engineering and construction activities," it said, adding it was considering "the sale of non-fundamental assets including all those that involve first-generation biofuels."
Under the plan, Abengoa's revenues over the next few years would represent around two thirds of what it made in 2014 -- or seven billion euros.
This recovery scheme must now been handed over to banks, investment funds and suppliers.
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