High interest in the last state-owned constructions firm

The state’s decision to sell 80% of the stock of the last major producer of constructions materials in Romania, Soceram SA Bucharest, has already attracted much interest on the part of some domestic companies and even from some major international ones.

Elpreco Craiova, Simcor Oradea, the Austrian brick producer Wienerberger and Xella Porenbeton (Germany) are interested in acquiring Soceram, whose portfolio includes four plants manufacturing bricks, ceramic tiles, and other constructions materials made of burnt clay tiles, according to sources close to the deal. The information was confirmed by sources within the State Asset Resolution Authority (AVAS).

According to the above-quoted sources, Soceram Bucharest SA is valued at about 10 million euros, which would put the value of the transaction at about 8 million euros.

Xella Porenbeton Holding is part of the Haniel Bau Industrie group and has annual deals standing at 1.5 million euros. At the end of last year, it voiced its intention to enter the Romanian market, taking into consideration all possible options, including investing in new capacities, acquiring existent capacities, and teaming up with domestic producers.

Contacted by Ziarul Financiar, Xella Porenbeton officials denied their interest in acquiring Soceram. “Romania is a market that interests us. We do not have any operations there, though. It is true we have come into contact with the relevant authorities (in the case of Soceram), but this is not the only company. For the time being, we are not sure about what we will do in Romania,” the Xella officials stated. The conditions imposed by AVAS upon those wanting to attend the tender scheduled for September 22nd are quite hard for domestic operators to meet. Information has already come up that some of such firms will form partnerships to submit bids for the takeover of Soceram. Soceram owns plants in Urziceni (bricks), Doicesti (and ceramic products), Bucov and Tandarei. Soceram holds a very solid position on the Bucharest market, according to the above-mentioned sources.

Soceram has a share capital worth 84.1 billion ROL (2.05 million euros). Beside the stake held by AVAS, other stakes are owned by SIF Muntenia (17.7%), while 1.83% of the stock belongs to some natural persons who became shareholders in the wake of the Mass Privatisation Programme.

In 2003, Soceram logged deals worth 310 billion ROL (about 8.6 million euros) amid profit standing at about 5.7 billion ROL. The company accumulated penalties and payment delay fines of about 38 billion ROL (about 1 million euros).
adrian.mirsanu@zf.ro