The operation was approved at the end of 2014 and entails increasing the nominal value of shares, in exchange for a new cash contribution from the company’s sole associate.
Kronospan products are used in constructions, the furniture industry and for interior design works.
Kronospan, which has two production units in Sebes and Brasov and a logistics center in Constanta, said it has invested over EUR500 million in Romania so far.
Mid-January 2015, Kronospan Romania said it plans to slate into operation a new formaldehyde production unit this spring, in Sebes, following an investment of EUR18 million.
The new investment project stirred protests in the local community because formaldehyde is deemed a cancer-causing substance. The latest protest rally, which was organized Sunday, gathered some 1,000 people.
Kronospan set off investments in Romania in 2004, when it bought the factory in Sebes from Italian group MD Fratti. Beside the wood processing platform, in Sebes, Kronospan also holds a formaldehyde factory which produces 30,000 tons per year.
In 2013, Kronospan Romania had a turnover of RON546.9 million, a net profit of RON10.6 million and some 200 employees, according to Finance Ministry data.