December 18 (SeeNews) - Romanian investment platform ROCA Investments, part of Impetum Group, said that it has acquired a 20% stake in local dairy producer Artesana.
The acquisition will help Artesana grow its business and triple its production capacity by building a new dairy factory, following a 4.6 million euro investment ($5.63 million), ROCA said in a press release on Thursday.
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"The company is at the beginning of a development stage, with prospects for organic growth and multiple possibilities for expansion in a sector which is currently on a consolidation trend," ROCA Investments manager Ionut Bindea said.
Started as a small family business in 2007, Artesana sells premium natural artisanal dairy products. As a result of the increase in demand for 100% natural products, Artesana's plant in Tecuci, in Galati county, has reached its maximum production capacity.
According to ROCA, the local dairy market expanded significantly in recent years, reaching approximately 5.4 billion lei ($1.36 billion/ 1.1 billion euro) in 2020, up 60% compared to 2008, although the number of companies decreased due a consolidation trend in the market.
According to the latest data available from the finance ministry, Artesana's net profit fell to 223,922 lei in 2019 compared to 752,812 lei in 2018. Its turnover rose to 14.4 million lei last year compared to 6.4 million lei in 2018.
For 2020, Artesana estimates a turnover of 3.7 million euro.
ROCA was launched in March 2018 and has so far invested in various local companies such as fiberglass mesh manufacturer BICO Industries, honey producer and exporter Tremot, shoe manufacturer S-Karp, commercial and industrial cold technology company Frigotehnica, grains trader RDF Arad, railway electrical cables maker Electroplast, chemical company Sinteza, lunch delivery company Yellow Restaurant and port operator Romcargo Maritim.
(1 euro=4.8677 lei)