EBRD could lend EUR 25 mln to Romanian retailer for expansion

The European Bank for Reconstruction and Development (EBRD) is currently analyzing a EUR 25 million loan to Romanian retailer Profi. The company plans to use the money to expand its local network, which includes opening new Profi Loco shops in rural areas. The total value of the project is some EUR 44.5 million, according to EBRD. If EBRD approves the loan, it will be co-financed by a bank in Romania. Profi launched the Loco shop concept at the beginning of August this year when it opened 11 shops under this brand. These shops sell a range of products that’s adapted to the needs of the people in the area where they are located. Profi aims to open new such stores as it will continue to develop its network. The company’s target is to reach a total of 500 stores in all formats by the end of 2016 and to continue growing by some 100 units per year. Profi currently operates 331 stores in 158 cities and villages in Romania. It has the widest geographical coverage of all the local retailers. Polish private equity group Enterprise Investors controls the company. editor@romania-insider.com