Construction materials producer Prebet buys 5% of ROCA investment fund

Romanian concrete products manufacturer Prebet Aiud (PREB) has bought 5% of the shares of ROCA Investments, a private equity platform created by CITR Group together with experienced local entrepreneurs, Profit.ro reported.

The transaction value is EUR 2.1 mln, which puts ROCA's value at EUR 42 mln.

"This transaction is a first in the history of ROCA for three reasons," said Rudolf Vizental, CEO of ROCA Investments.

"Firstly, the market thus confirms the validity of the business model - a formula that is based on the ability of Romanian SMEs to generate added value in partnership. Secondly, the price of the transaction recognizes the valuation of the companies in which ROCA holds shares: EUR 42 mln. Finally, it is encouraging to see new partners joining ROCA's mission of creating a new entrepreneurial culture based on partnership," Vizental explained.

Prebet has a market capitalization of RON 75 mln (EUR 15.2 mln). The company reported revenues of RON 41 mln (EUR 8.4 mln), and its net profit reached RON 8.5 mln (almost EUR 2 mln) in 2020.

However, there have been some disagreements between the company's shareholders recently, including related to the dividends paid from last year's net profit.

ROCA has in its portfolio stakes in local companies Frigotehnica (100% owned), BICO Industries (24% stake), Romcargo Maritim (60%), RDF Arad (40%), Electroplast (60%), MECANEX (30%), Piscicola (30%), Yellow.Menu (30%), Artesana (20%), CAHM Europe (24%), Sinteza (18%).

The 13 companies in its portfolio (of which two inactive) generated in 2020 a cumulative turnover of EUR 98 mln and an operating profit (EBITDA) of EUR 5 mln.

(Photo: Pixabay)