The new strategic partner of troubled Croatian shipbuilder Uljanik Group has warned that costs must be slashed to make the company viable.
The chairman of compatriot shipyard Brodosplit told the Hina news agency that a collapse of the group would mean the end of shipbuilding in the country.
Tomislav Debeljak added it was important to ensure a financial injection for Uljanik, which controls Uljanik Shipyard and 3 Maj.
He said the money was needed to "drastically cut the total expenses".
A quick agreement was essential to ensure "all the conditions for recapitalisation," he added.
Brodosplit was selected last week as an investment partner to take a stake in Uljanik, with advisory backing from Italian yard giant Fincantieri.
Uljanik has been hit by order cancellations and strikes.
Debeljak said he did not expect any problems with the unions.
"If we reach an agreement, we will have to urgently draw up and agree a restructuring plan and forward it to the European Commission for approval," he said.
