Broadhurst pays $1.1m for 27% in Vel Pitar

US-based Broadhurst investment fund at the end of last week put out an offer to buy the last 27% in milling and bakery company Vel Pitar Ramnicu Valcea. Broadhurst offers 2,650 ROL/share and 36bn ROL ($1.1 million) for the entire stake targeted. The price offered by the investment fund is identical to the price in the preliminary announcement published at the end of last year. Broadhurst, administrated by New Century Holdings (NCH), is the largest investment fund on the Romanian market and holds 66.8% in Vel Pitar. Another NCH-managed fund, Linsdell Enterprises, holds another 5.4%. Vel Pitar also holds 6% of its shares. The offer ends on March 5 and is brokered by Active International brokerage firm. Vel Pitar was created by Broadhurst, following the merger of several bread-making factories (Mopariv Valcea, Panegrano Cluj, Berceni Bucharest, Granpan Tecuci and Spicul Arges), as the fund is planning to turn Vel Pitar into a national bread brand. Vel Pitar’s top competitors on the milling and bakery products market are Dobrogea Constanta and Titan Bucharest. Broadhurst holds several other bread-making factories, which will most likely merge with Vel Pitar. The company management was authorised in late last year to devise projects for Vel Pitar’s merger with Gorjpan Targu Jiu and Pangran Iasi. The two companies are controlled by investment funds. ZF