Sale of TCE Logistica put off

Octavian Radu, founder of the RTC group, says the sale of the cargo and courier company TCE Logistica (TCE Logistics) was intentionally delayed, so that the increase in the company’s first half results, of over 50%, would increase the company’s sale price. “We put off the sale in order to “include” in the price the over 50% yearly growth of this business,” says Octavian Radu. The sale will take place at the end of 2007 at the earliest, adds the representative of the RTC group. At the end of last year, TCE Logistica posted a turnover worth 6.5 million euros, a 60% increase against the previous year, and estimates to surpass this level in 2006. The balance sheet drawn up halfway through this year indicates an increase in turnover to 4 million euros, an over 50% growth against the same period of last year. “Transport and logistics firms are sold at multiples of 0.5 to 1 of the turnover, and TCE has a 15 million-euro budget for 2007. These are the boundaries within which the seller is trying to argue his way toward 15 million euros, and the buyer toward 7 million euros,” says Octavian Radu. The company has announced this summer that it is in talks with potential buyers.