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OTP completed the sale of its Romanian subsidiary to market leader Banca Transilvania. OTP Bank announced in July 2024 the completion of the sale of OTP Bank Romania and other subsidiaries, to Banca Transilvania after regulatory approval.
Romania’s largest financial group in assets acquired the stakes for €347.5mn, according to earlier Romanian press reports.
The other subsidiaries acquired by BT are OTP Leasing Romania, OTP Asset Management Romania, OTP Factoring Romania, OTP Consulting Romania, OTP Advisors Romania and OTP Bank Foundation Romania.
Following the closing of the transaction between OTP Group and Banca Transilvania, BT will start the integration of OTP Bank Romania and its Romanian subsidiaries.
5.9.3 Industry
Although the overall industrial activity is sliding down, some specific industries are doing well in terms of output and investments, also generating merger and acquisition activity.
Paper manufacturing industry
The SARMIS Capital investment fund took over the majority stake in the tissue and sanitary paper manufacturer company MG-Tec Industry located in central Romania at Dej in 2024.
Founded in 2018, MG-Tec Industry is one of Romania’s largest independent tissue paper producers, achieving a turnover of €58mn in 2023.
The transaction was one of the most important in this industry, considering the size of the investment made from scratch. The terms of the deal were not disclosed, but the target company invested €150mn in its productive equipment.
INVL Baltic Sea Growth Fund, a private equity fund in the Baltics, signed an agreement to acquire Romanian producer of household and industrial paper products Pehart from Abris Capital Partners.
In 2023, the Pehart Group generated revenues of €168mn, achieved €23mn net profit and employed nearly 550 people across its companies. Pehart Group is one of the largest tissue paper producers in Southeast Europe, present with its household and industrial products in 19 countries.
The Romania entrepreneur Vladimir Cohn, known for his businesses in the field of paper manufacturing, is building a new factory in Giurgiu where special paper will be produced that will replace plastic bags. The investment amounts to €75mn, according to the investor, and production could start at the end of 2025.
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