Romanian American Enterprise Fund (“REAF”) signed a sale option agreement with Romanian Investment Fund (“RIF”) and RC2 Limited for 33.23% of dye and paint producer Policolor. The offer is due to close on November 3, 2008. The total value of the transaction is € 27.5 million.
Following the transaction, RIF and RC2 would together control 92.5% of Policolor.
Policolor (www.policolor.ro)
Policolor SA is a market leader in coatings. The Company represents 16% of the Romanian and 32% of the Bulgarian markets through its 65% owned subsidiary Orgachim. Both companies, Policolor and Orgachim are listed on the Bucharest and Bulgarian Stock Exchanges respectively.
Policolor and Orgachim have strong regional brands in architectural paints, water and solvent based, in automotive OEM and refinishing and in industrial paints, resins and other chemicals.
The consolidated turnover was € 60 million at the end of 2005.
Romanian American Enterprise Fund (www.raef.ro)
RAEF is a private U.S. corporation established by the President and the U.S. Congress in 1994, in accordance with the principals of the Support for East European Democracy Act. The mission of RAEF is to promote free enterprise and entrepreneurship in Romania by investing in small to medium size private companies.
24/06/2008
Central & Eastern Europe, Chemicals, Exit, Private Equity News, Romania