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Romania’s Romstal Enters Serbia, Buys Local Co Doming for 10 Mln Euro

Romania’s Romstal Enters Serbia, Buys Local Co Doming for 10 Mln Euro

BUCHAREST (Romania), December 13 (SeeNews) - Romanian sanitary and electric equipment distributor Romstal said on Thursday it has entered the Serbian market, acquiring local equipment distributor Doming for 10 million euro ($14.7 million).

“Romstal expands to Serbia as it was envisaged in the company’s plans to enter new markets this year,” Romstal Development director, Enrico Perini said in a statement.

The company said earlier it plans to expand to neighbouring Bulgaria and Serbia, aiming at a turnover of 600 million euro by 2012. Its turnover in 2006 rose by 40% on the year to 310 million euro.

Doming holds between a 25% and 30% share on the Serbian equipment distributing market, the statement added. It operates a network of nine shops and some 60 dealerships in the country and a logistics centre near the capital Belgrade. The company forecasts  23 million euro turnover in 2007. Comparative figures for turnover in 2006 were not immediately available.

Romstal is part of the Romstal Group, which also includes pipes and fittings manufacturers Valrom and Valplast and bath manufacturer Belform Prod, real estate developer Dezim Development, IT company IOS Software Solutions and Mercedes-Benz dealer Autoclass. Romstal Group operates through Valrom Industrie and Valplast Industrie three pipes and fittings plants in the Romanian capital Bucharest and another in Ukraine. Belform Prod has one bath plant.

($=0.6805 euro)