Divaks, which was building an insect factory, downsized to two employees, shareholders argue in court

Lithuanian and foreign-owned food technology company „Divaks“ has pulled out of plans to build a €67 million insect protein plant in Marijampolė, reports the portal „Verslo žinios“.

According to the portal, only two of the 22 employees who worked for the company at the beginning of the year are now left, and the shareholders are disputing in court. Kęstutis Lipnickas, the company's head of research, told the portal that as long as production processes are carried out with external partners, a small team is sufficient. He said that no construction is underway because there is no need for such an investment at the moment.

As reported by „Verslo žinios“, in August several shareholders of the company filed a request to the Vilnius Regional Court for interim measures of protection, suspending the decisions of the shareholders' meeting on the increase of the authorised capital, until a lawsuit is filed with the arbitration court.

The Vilnius Regional Court blocked the possibility to increase the share capital.

As BNS reported in 2022, the plant was planned to be operational in mid-2024 and employ about 100 people.