Romania’s insolvency market leader CITR announced that it auctioned off the agricultural and industrial assets which make up the Mândra oil factory in Bârlad, eastern Romania, worth RON 8.96 million (approximately EUR 1.8 million).

The asset package, sold by CITR as receiver of Mândra SA, a company undergoing reorganization, includes the Mândra oil mill and its related movables and immovables. The name of the buyer was not disclosed.

“The oil mill held by Mândra SA, an important landmark on Romania’s agro-industrial map, had a significant historical role in the processing and distributing of agricultural products and agro-industrial derivatives. However, the potential of the sold assets is not limited to the development of the agricultural industry but provides multiple other possibilities of transformation, expansion or usage of the space for new and varied domains,” said Florin Constantin, CITR Partner.

The sold asset consists of a land plot of 21,317 sqm, buildings, annexe buildings, machinery, equipment, and process lines related to the mill. It can be used for oil processing, as well as for other industrial purposes or even the development of commercial, retail, residential or mixed real estate projects, CITR said.

The sale of the asset package was made through a public auction at a market value of over 90%. 

Mândra SA Bârlad belongs to the former Republica Bârlad Oil Company and was founded as an oil mill in 1911 at its current location, following the initiative of great Romanian industrialist Nicolae Malaxa. It started only with hydraulic presses powered by steam produced by a locomotive.

Ever since, the factory has constantly undergone upgrade and re-technologization processes, being known today as the creator of the Floris and Clariol brands. 

In the spring of 2018, the Bârlad oil mill was faced with a fire that destroyed over 80% of its Pressing Division, impacting both production technological equipment and the building itself, leading to the company’s financial decline.

irina.marica@romania-insider.com

(Photo source: CITR)