Vitezit, the ailing Bosnian factory specialised in manufacturing explosives, reported on Wednesday that it had been purchased by a Croatian company at the price of €5.5 million.

The Vitez-based manufacturer stopped short of identifying the new owner, while local media outlets have reported that it is the Zagreb-based WDG Promet company, owned by Matias Zubak, a son of a Croatian arms dealer, Zvonko Zubak.

Vitezit's official receiver Bahrina Huseinbegović was quoted as saying that Vitezit had been purchased by a company from Croatia.

The relevant court in the town of Travnik, central Bosnia and Herzegovina, conducted an international tender for the takeover of the factory, and the best bid was made by that Croatian company.

This has been one more international tender after on 1 February 2021, local media outlets reported that the stumbling factory had been bought by arms dealer Zvonko Zubak at a public auction organised by the Travnik court, after three previous unsuccessful auctions.

Zvonko Zubak's Winsley Defence Group was then declared the best bidder that offered 5.5 million euros for the factory. However, in the following period, the company did not pay the required amount.

Therefore a new international tender was advertised, and Matias Zubak's company won it. This company already made a 10% advance payment, and the remaining amount is supposed to be paid in the next 15 days.

Vitezit was founded in 1950, as part of the military industry of the former Socialist Yugoslav federation.