EBRD buys 50% in Renault's Titu centre

In a surprise deal, the European Bank for Reconstruction and Development, one of the largest investors in Romania, will take over an almost 50% stake in Renault Technologie Roumanie after contributing to a 44 million-euro capital increase of the company. Renault will boost RTR’s capital to 90 million euros from 28 million euros at present in order to finance the development works for the technical centre in Titu, Dambovita county, where Renault and Dacia models are tested. The investments targeting the first development stage of the centre amount to 166 million euros, while the overall investment stands at 450 million euros. “It is not a novelty that many companies go through liquidity crises. Renault is quite solvent, but it approached the EBRD in order for it to participate in this investment,” said sources close to the deal. The EBRD is at its first investment in two and a half years, which also entails the takeover of a stake in a company in Romania. The latest investment of this kind involved E.ON Gaz Romania, with the EBRD taking over 5% of its shares indirectly.