The new terms of the financing deal include a main loan of EUR13 million to Cemacon to be paid back by 2023 and a secondary loan, of EUR5 million to Cemacon Real Estate to be paid back by 2020.
The third part of the debt, of EUR12 million plus interest, ceded by the bank to Business Capital For Romania Opportunity Fund Cooperatief, BOF, will be converted into shares.
“We are currently undergoing a capital raise that will be completed in the second quarter of the year,” Cemacon said in a press release.
Cemacon took loans totaling EUR26 million in 2006-2008 from Anglo-Romanian Bank, later taken on by BCR. The company used the money to build a factory but was hit hard by the financial crisis and the slump on the construction market.
Cemacon’s turnover increased 31% last year, to RON63.1 million, and its losses decreased 53%, to RON3 million.
Cemacon’s main shareholders include investment fund KJK Fund SICAV-SIF, with a 38.69% stake, Andrei&Andrei Consultanta, with 24.3%, and brokerage firm SSIF Broker, with 20.27%, according to the latest data.