Owners inject EUR 2 mln in Elefant.ro as the online retailer's losses widen

Moldovan businessman Ion Sturza and the investment funds Olif și Catalyst Romania, as shareholders, increased by RON 9.9 mln (sone EUR 2 mln) to RON 74.9 mln (EUR 15 mln) the capital of Elefant Online - which operates the online store Elefant.ro.

Millenium Gold Resources Limited, a vehicle of Sturza, converted into shares a RON 6 mln loan. The other two shareholders of the retailer, Olif and Catalyst Romania, participated with cash contributions of RON 2.91 mln and, respectively, RON 981,920, Profit.ro reported.

The online retailer, the second-largest in the country by the number of orders (after eMAG), according to Profit.ro, reported deeper losses in 2021.

Elefant Online, with RON 17.5 mln (EUR 3.5 mln) bonds listed on the BVB, maturing 2026, announced that its losses deepened to RON 16.7 mln (EUR 3.3 mln) in 2021, from RON 1.9 mln in 2020. Last year, the company's turnover edged down by 2.8% to RON 232.8 mln (EUR 46 mln), while the operating costs increased by 17.6% to RON 56.2 mln.

The consolidated financial statements have been prepared on a going concern basis, auditors explain, adding that the Group's ability to continue to operate depends on the company's ability to generate sufficient revenue and on the financial support of its shareholders.

(Photo source: the company)