Jumbo could issue convertible bonds to finance expansion in Romania

Greek toy retailer Jumbo considers issuing convertible shares to get up to EUR 250 million to finance its international expansion, Kathimerini announced on Thursday, Reuters reports. Jumbo will use the gains from the convertible bond issue to finance its expansion in Romania and to increase its cash holdings. In the next five years, the company plans to open 17 new stores in Romania, two in Greece and one in Bulgaria. Despite the seven years of austerity in Greece, Jumbo has had good financial results due to its low-cost products and rapid operation growth in Romania and Bulgaria. It currently runs 51 stores in Greece, 22 in Cyprus, Bulgaria and Romania. Jumbo’s net profit rose by 8% in the financial year that ended on June 30, due to the solid growth recorded in Romania and Bulgaria. editor@romania-insider.com