Romania’s mergers and acquisitions market more than doubled in 2012 compared to the year before, to a value estimated at some USD 788 million, according to the recent M&A Barometer by Ernst & Young Romania. The increase of 106 percent came despite a lower number of transactions – 114 in 2012, compared to 120 in 2011. However, the average value of the deals which were made public doubled year-on-year.
US companies were buyers in eight transactions, French, in five, Cyprus and UK firms, in four transactions each, while Germany and Canada, in three transactions each.
The largest transaction included in the E&Y survey based on public deal data was the takeover of Liberty Center mall by Rosequeen Properties SRL, for USD 74.3 million. Then came Bunge’s purchase of the edible oil factory in Lehliu Gara, from Prio Foods, for USD 65.6 million. The third largest deal was the purchase of the office building Tower Center International by businesspeople Dragos Bilteanu and Ioannis Papalekas, for some USD 58.4 million.
The ranking would have been different should two other deals have had their values made public. The Ameropa takeover of Azomures could have been the largest deal of 2012- and the largest in the last two years, with an estimated value between USD 134 million and USD 365 million. Then Naspers buying local Dante International – which runs the online retailer Emag.ro could have been the second largest – with an estimated value between USD 83 million and USD 128 million. The full list of deals included in the E&Y survey below.
“Despite the macroeconomic situation and the political uncertainties in 2012, we can say that the M&A market had a good year, based on several representative transactions in sectors such as agriculture, e-commerce, renewable energies and real estate,” said Florin Vasilică, partner and head of the Transactions Assistance with Ernst & Young Romania.
On the other hand, Romanian companies did not buy anything abroad, as they focused on consolidating at home.
|Company – subject deal||Buyer||Buyer’s country||Deal value (USD mln)||Stake|
|Dante International SRL||Naspers||South Africa||n.a||70.00%|
|Liberty Center Mall||Rosequeens Properties||Romania||74.3||100.00%|
|Edible oil factory Lehliu Gara||Bunge||USA||65.6||100.00%|
|Tower Center International||Dragos Bilteanu, Ioannis Papalekas||Romania||58.4||87%|
|Rombat||Metair Investments||South Africa||52||100.00%|
|Astra Vagoane Arad||Astra Rail Industries||Romania||38.4||100.00%|
|Pitesti hypermarket||Auchan Romania||Romania||35.1||100.00%|
|Tractorul industrial area||Auchan||France||32.7||100.00%|
|MKB Romexterra Bank||PineBridge Investments||USA||32.7||92.00%|