New Den Braven shareholders to invest in increasing Romanian production, double sales in three years

Den Braven Group, which has been recently taken over by financial companies Egeria and Wagram, will invest in expanding production capacities in Romania. Under the new shareholder scheme, the local subsidiary expects to reach a turnover of EUR 60 million within the following three years. “Subsequent to the discussions we have had with the new majority shareholders and with the new CEO of the Group, Mr. Geert Jansen, we were assured that over the next period, investments will be made for the extension of the capacities from the Romanian plant, so that in the next three years, our turnover will reach EUR 60 million, respectively the double of the EUR 30.8 million we obtained in 2009”, said Adrian State, Den Braven Romania General Manager. The Romanian subsidiary of Den Braven will maintain its staff structure and will increase the relations with the internal and external business partners, the company has said in a statement. The growth target proposed for the following three years will be supported by the launch of new products, by the increase in the market share in Romania, as well as by the increase in exports. Within only in two years and eight months since it started to produce locally, the plant exports products to 32 countries. Den Braven Romania currently holds more than half of the local polyurethane foams, hotmelt, silicone and acrylic sealants market, according to the company. Den Braven's Romanian factory is the only such facility in Eastern Europe for the group. The Den Braven Group opened a representative office in Romania in October 1997. Between 2001 and 2007, the local company recorded a turnover of EUR 85 million. Den Braven invested EUR 20 million in 2007 to build the Romanian factory. The total sales of Den Braven Romania reached EUR 30.8 million last year, amount which also includes the results of the branch in the Republic of Moldavia. The result was 8 percent lower compared to 2008, given that the sales of construction materials in Romania decreased by 30 to 50 percent during this period. The company ceased deliveries to companies which could not guarantee a timely payment of their invoices. For this year, the company has estimated a minimum turnover of EUR 35 million. Egeria is a Dutch private equity investment company, which administers assets worth over EUR 1 billion. Wagram Equity Partners also specializes in private equity investments, with total investments amounting to EUR 200 million so far. The Den Braven Group, set up in the Netherlands in 1974 by the former shareholder, Cees den Braven, holds 11 worldwide production units and carries out its activity in over 100 countries.