Romanian developer One United buys landmark store in Bucharest
Romanian real estate developer One United (BVB ticker: ONE) has signed an agreement to take over local company Bucur Obor SA, which owns the famous Bucur Obor shopping center in Bucharest. Bucur Obor SA is also listed on the Bucharest Stock Exchange’s AeRO market, where its shares are trading under the ticker BUCU.
“The decision to acquire the majority stake in Bucur Obor is in line with One United Properties’ strategy to increase the weight of profits from rental activity in a sustainable manner. Bucur Obor has a long-standing history of profitability from rental activity, and we believe the agreement we have entered today is another step made with a purpose of creating additional value for our company and our stakeholders,” said Victor Capitanu, co-CEO at One United Properties.
In the first phase of this deal, One United indirectly bought a 54.4% stake in Bucur Obor through an investment vehicle BO Retail Invest. The value of the deal was RON 64.9 mln (EUR 13.1 mln). The price per share was RON 8.918, significantly below the latest trading price for BUCU shares (RON 21.8).
In the second phase, One United will complete the acquisition of a 100% stake in BO Retail Invest, after the Competition Council clears the deal.
Bucur Obor is a landmark shopping center in Bucharest that opened its doors in 1975. It currently accommodates stores of all sizes, from family businesses to well-known international brands. In 2020, Bucur Obor registered a turnover of RON 31.6 million (EUR 6.4 mln), out of which the rental income amounted to RON 26.9 million, and a net profit of RON 10.2 million (over EUR 2 mln).
One United Properties is the largest real estate company listed on the Bucharest Stock Exchange. The company’s shares floated on BVB on July 12, 2021, following a successful IPO, in which the company raised RON 260 million (EUR 52.5 mln) for new real estate investments. On September 20, 2021, ONE shares were included in the BET index, which follows the evolution of the 19 most liquid companies listed on the Bucharest Stock Exchange.
(Photo source: Bucur Obor Facebook page)