Romanian farm stores chain Agroland lists 2028 bonds with 9.5% coupon

Agroland Business System, which operates the largest network of agricultural stores in Romania, listed on the Bucharest Stock Exchange its second issue of registered, dematerialized, unsecured, and non-convertible bonds, with a total value of RON 6.92 million (EUR 1.4 million).

The bonds carry a nominal fixed coupon of 9.75% / year, payable semi-annually, with the principal repayment to take place on October 2, 2028, according to Agroland's note to investors.

According to the published Memorandum, the capital raised through the issue was used to finance the company's current activity.

More precisely, the funds obtained were directed towards the acquisition of raw materials needed for the next three months for the factories in Işalniţa and Caransebeş. The decision was made in the context of Agroland's management anticipating an increase in cereal prices in the coming period.

In March, Agroland announced the expansion of the Agroland MEGA chain to 28 units nationwide by opening a new store located in Arad.

Agroland's own stores, including traditional and MEGA stores, generated net sales of RON 112.8 million in 2024, an increase of 21% compared to 2023. This positive evolution was due to both the increase in the number of customers, by 17%, to 1.4 million people, and the average value of the fiscal receipt by 3%, which reached RON 79.

The company has a capitalization of RON 103 million (EUR 20 million). The group reported a net profit of RON 7.7 million in 2024, 63% above the net result of the previous year. Operating income increased by 7% to RON 315.7 million, and operating expenses rose by 5% to RON 298.7 million. Operating profit amounted to RON 17 million, up 53% y/y.

(Photo: the company)