Paval Holding, the investment vehicle of Adrian and Dragos Paval - the owners of local do-it-yourself retailer Dedeman, has become a significant shareholder in Purcari Wineries, the only wine producer listed on the Bucharest Stock Exchange.

The holding has bought 1 million shares, representing over 5% of the company’s capital. The stake is worth RON 22.8 million (EUR 4.8 mln), based on the current share price.

The timing of the investment coincides with the disinvestment operated by Swedish group SEB Investment Management, which trimmed down its stake in Purcari to under 5%. This indicates that most likely the Swedish funds some of their shares to Paval Holding.

Purcari Wineries, founded by entrepreneur Victor Bostan, ended 2019 with revenues of RON 199 mln (some EUR 42 mln), up 18% from the previous year, and a net profit of RON 44 mln (EUR 0.92 mln), 5.5% smaller than one year earlier, according to the preliminary financial report. The company has a market capitalization of EUR 91 mln.

Adrian and Dragos Paval are among the biggest local investors on the Bucharest Stock Exchange, holding significant stakes in several large companies, such as Transelectrica, Conpet, and Alro.

editor@romania-insider.com

(Photo source: the company)