Electronics manufacturer Celestica
will invest around 100 million USD in
production hall in a greenfield
investment in Bors, Bihor county over
6.2 hectares, to be completed in 2007.
The firm will build high-capacity servers
for banks and airlines and employ up to
4,000 people by 2007.
Part of the Tuborg International Group
United Romanian Breweries Bereprod
(URBB) is borrowing 40 million USD to
boost its capacity in its Bucharest factory,
distribution network and employees, in a
loan from a consortium of banks
including BankAustria reditanstaltAG,
HVB Romania and Raiffeisen, plus an
additional loan of ten million USD from
HVB with a payback period of six years.
URBB has a share of around eight per
cent of the beer market and last year
posted a turnover of 44 million Euro.
Distributor of mobile phones and
Orange dealer Avenir has bought 45
stores from Goldstern International to
more than double its hold on the phone
retail network. Owned by Andrei
Cubitchi of Timisoara, the store make-up
is mainly based in theWest of Romania in
rented spaces. Avenir runs the Internity
store chain, which has a 30-strong
network on the Romanian market and the
deal could amount to between one and
two million USD, according to local
Glass and ceramic producer Saint
Gobain will invest around 40 million
Euro in a new fibreglass factory in
Ploiesti, set to begin in the middle of
2006. The operations will involve
purchasing and then modernising an
existing site. This follows the start of
construction of a 100 million Euro glass
factory in Calarasi.
Hypermarket store Kaufland is
expected to open 50 stores and a 60,000
sqm warehouse in the next five years with
an investment estimated at around 500
million Euro. The Schwarz-group owned
store will open its first store this year in Bucharest, close to Bucur Obor.
Fourth largest oil firm on the
Romanian market Mol will buy out
Anglo-Dutch owned Shell Romania in a
deal worth around 70 million USD. This
will boost Mol’s estate from 74 to around
133 petrol stations, as well as giving the
firm a lubricant business and a joint
venture to supply airplane fuel with
Henri Coanda Airport. Shell Gas
Romania will remain on the liquefied
petroleum gas market.
Furniture producer Ciatti will develop
its Sebes-located factory with a further
three to four million investment and an
increase of employees to 140.
Established in September 2004, with an
investment of nine million Euro, Ciatti
Sebes produces furniture for electronic
supplies and mainly exports to Italy,
France and Germany.
Tyre producer Pirelli will invest around
110 million Euro over three years in a
new high-performance tyre factory, close
to its recently-established factory in
Slatina, Olt County. This follows the
announcement in October 2004 of a joint
venture between the Italian firm and
Continental for a 40-million Euro steel
cord production plant in Romania, in
which Pirelli will own 80 per cent against
Continental's 20 per cent.
Retail division of Rompetrol,
Rompetrol Downstream, has secured a
loan of 15 million Euro to build, purchase
and modernise its retail network from
The Netherlands Development Finance
Company (FMO). The finance
institution, created by the Dutch
Government 35 years ago, is active in
funding the private sector in 40
Door producer Porta KMI was due to
open a Romanian production unit in
Arad, as we went to press. Aiming to
manufacture 100,000 doors per month,
the firm is looking for sales in Romania
and eastern European nations such as Bulgaria, Ukraine and Russia. The Arad
factory starts with 100 employees and
will aim to increase this to 300 workers.
Cosmetic firm Oriflame owner Jonas al
Jochnick is looking to invest around 20
million Euro in Romania, as reported in
Ziarul Financiar. Owing to a growing
middle class and an atmosphere of
growth the millionaire boss sees
Romania as a massive potential market.
Although he also told the newspaper he
would not be establishing a factory here.
Cement firm Holcim Romania will
invest more than 32 million Euro this
year in three new concrete plants in
Bucharest, Timisoara and Targu Mures.
The company also intends to modernise
the ready-mixed concrete plant in Brasov
and production lines in its cement plants
in Campulung and Alesd in order to
expand the existing waste processing
Chicken meat producer Banvit is
investing 40 million USD in a chicken
processing complex close to Urziceni,
near Bucharest. The project, with 15
million USD backing from the
International Finance Corporation,
includes a chicken incubator, farms, a
meat processing factory, a sales centre
and a freezer storage centre.
Wrigley is set to buy the Kraft Foods
manufacturing facilities of Sugus and
Silvana in Brasov, which produce the
Milka and Poiana brands, in part of the
confectionery giant’s takeover of the
sweet sector of Kraft Foods.
New York-based food and beverage
manufacturer PepsiCo and General Mills
have bought Romanian-based snack firm
Star Foods from Greek firm Mitzalis in a
deal worth around 20 million USD,
according to analysts. Star Foods has one
factory in Bucharest as well as a
distribution network and recorded a
turnover of 40 Million Euro for 2003.
PepsiCo sees the purchase as a launchpad
for expansion into the Balkans.