After a lifetime experience in steel plate moulding, Neculai Zaharia established a business in the field of steel frames production. Condem general manager says that his previous experience as an employee with Cernavoda Nuclear Plant (CNE), where he was the manager of a department supplying the plant with steel frames, did help him eight years ago: “I learnt all about equipment and raw material and especially how to train my employees to cope with risks.”
Consequently, in 1992, Zahiu decided to change his position while remaining in this industry, turning into the manager of a private company. He needed four years to make the business work, but if the authorities had not decided to freeze CNE investment programme in 1997, he would have fared better.
Zahiu says that his business was seriously harmed by this decision, as Condem activity was especially designed to provide the nuclear plant with all that was required. But tables turned in November 2000, when Condem won the tender appointing CNE suppliers.
During the critical moment of 1997, Zahiu didn’t waste any time and moved to other markets: “I thought my business was going under when I found that Romania didn’t need so much power supply.”
Since he had flexible equipment, he headed toward constructions. He gradually became the unique producer of false ceilings, cardboard walls and other construction solutions.
As this was not enough, Condem decided to expand in the field of building facades, using a system of sticking marble on facades, which was later patented.
The company landed important contracts, Zahiu says, and one of them was Allianz head-office from Bucharest. He further got the patent for another system of sticking aluminium on the buildings’ facades, and the technology was applied at Nord Hotel from Bucharest.
The shift to the constructions market proved beneficial and the business quickly developed. As the company needed more space, it requested the former State Ownership Fund to rent some spaces belonging to Electrotehnica, but after the “power nightmare” from 1997, Condem had to face another one.
Zahiu says he invested seven billion lei in Electrotehnica halls, but when he wanted to buy them, the troubles appeared.
“SOF scorned us by stopping the power or the air supply, and eventually, after many delays and exaggerated claims, we managed to buy Electrotehnica halls for a price matching the amount Kvaerner paid to take over IMGB.” Therefore, Zahiu considers that last year was “awful,” but, nonetheless, the company managed to win the tender for Cernavoda.
Things changed during the first four months of the year, as the “nuclear” contract had the engines working at full speed, although construction contracts are no longer that numerous.
Neculai Zahiu is counting on double turnover this year as compared to 2000 ($7m against 3.5m dollars last year).