Finnish state fund says more investment in Talvivaara not viable

HELSINKI Fri Nov 15, 2013 3:31am EST

HELSINKI Nov 15 (Reuters) - Finland's state investment fund Solidium said it had decided additional equity investment in Talvivaara was not viable and it was not involved in negotiations to help restructure the troubled miner's debt.

Talvivaara is looking at various ways of raising cash, and some investors had believed Solidium would step in.

Talvivaara is now seeking a loan for a court-supervised reorganisation process, and Solidium's investment director Hanna Masala said the fund could not help as it was an equity investor.

"We are not a party in these negotiations," Masala told Reuters. "Additional equity investment in Talvivaara was not something we see as a viable option." (Reporting by Ritsuko Ando; Editing by Mark Potter)

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