The emerging markets in CE, SE and Eastern Europe include Romania, Poland, Hungary, Turkey, Serbia.

The emerging markets in CE, SE and Eastern Europe include Romania, Poland, Hungary, Turkey, Serbia.
The emerging markets in CE, SE and Eastern Europe include Romania, Poland, Hungary, Turkey, Serbia, Lithuania.

Tuesday, 27 October 2015

M&A in Romanian agri-business sector

Irish Agri-services group Origin Enterprises has acquired Romanian–based providers of agronomy services Redoxim, for EUR 35 million, and Comfert, for EUR 19.4 million.

The acquisitions are being funded from existing bank facilities and are expected to be earnings enhancing from the 2016 financial year onwards.

Redoxim, headquartered in Timisoara and founded in 1991, is a leading provider of agronomy services, macro and micro inputs to arable, vegetable and horticulture growers. The company employs over 190 people and it services approximately 2,000 customers through a distribution network of 55 retail outlets, and a team of 50 agronomists and product specialists.

Under the terms of the deal, Origin is to acquire a 100% interest in Redoxim for a total cash consideration of €35 million.

Redoxim announced revenue and operating profit before non-recurring items for the year ended December 31st, 2014 of €53.6 million and €5.6 million, respectively.

Comfert, headquartered in Bacau and founded in 1998, is a similar business which employs over 180 people and operates through a distribution network servicing approximately 1,900 farming customers via a team of 32 agronomists and product specialists.

Origin is to acquire 100 per cent of Comfert based upon an enterprise value of €19.4 million. Comfert reported revenue and operating profit before non-recurring items for the year ended December 31st, 2014 of €100.6 million €3.2 million, respectively.

“Redoxim and Comfert represent an excellent strategic fit for Origin providing complementary expertise, meaningful geographic extension and strong brand reputation on-farm,” said Mr O’Mahony according to Irish Times.

Sources: the companies, Irish Times, ZF

For tailor-made market research and opportunity analysis, acqusition target search, as well as B2B matchmaking with players in Romania and the emerging markets in Europe, feel free to contact FRD Center team at: 
email: europa@frdcenter.ro or tel: +4021 411 1459/ 60/ 61

FRD Center provides market research in Eastern Europe and the region, B2B matchmaking in the CE Europe and SEE, M&A assistance in Romania, in CEE and SEE


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