Chimcomplex said in a statement it will pursue a robust investment program for the next five years, which includes both organic investment on its existing platform in Onesti and the acquisition of chemical platforms across Europe.
It said its first investment project this year will be the EU10 million development of a calcium chloride production unit with a capacity of 30,000 metric tons per year. The development of further chemical production units will begin in 2018 and 2019.
“Chimcomplex has identified acquisition opportunities across Europe, both in Romania and abroad. These unique opportunities include the insolvent Oltchim plant in Romania, and other chemical units across Europe. Integrating Chimcomplex and Oltchim platforms is the optimal solution for Romania’s rich natural and human resource base. Such a consolidation would also represent a significant milestone for Romania’s independent middle market, in a sector traditionally dominated by multinational corporations. Romania’s middle market has lagged those of its CEE peers such as Poland and Czech Republic,” the company said.
Oltchim has been insolvent since 2013 and its judicial reorganization plan was extended for anotehr one-year period in 2016. In the first nine months of 2016, Oltchim had a net profit of RON16 million from a net loss of RON15.8 million in the same period in 2015. Oltchim is 54.8% owned by the Romanian state.
Last year, Chimcomplex bought the assets of Somes Dej, under insolvency since 2012, whose platform comprises 40 hectares of land and industrial constructions.
The company plans to develop its production facilities in Onesti, where it has already invested over EUR70 million including in the development of two modern cogeneration plants.
To supervise and implement this growth strategy, Chimcomplex will form an Advisory Board early 2017 to include a seasoned chemical and petrochemical products trader, with deep knowledge and expertise on Med and Black Sea markets from Tricon Energy USA, and an expert in financial and capital markets, who executed tens of projects in CEE in the last 15 years working for international investment funds, from Amercoap USA.
Once a powerful exporter, Romania imports chemical products of EUR8 billion per year and its exports are only EUR2-3 billion per year.