“Selena took over Euro MGA Product entirely and invested nearly RON12 million, plus additional costs, which increased the takeover deal to RON13 million,” said Spataru.
Founded in 2001, Euro MGA Product’s operations included manufacturing, following a series of investments between 2007 and 2009, and distribution. The economic crisis led to a sharp decline in the company’s turnover from RON62.7 million in 2007 to RON8.1 million in 2011. Euro MGA Product filed for insolvency in early 2011 and in August 2011, Selena decided to buy some of its debts, according to the company’s reorganization plan. Euro MGA exited insolvency in the spring of 2012.
Selena Romania, part of Poland’s group Selena, forecasts a turnover of EUR10.3 million in 2012, after taking over Euro MGA Product. According to Finance Ministry data, the company reported a turnover of RON36 million (EUR8.5 million) in 2011.
Euro MGA Product, set up by Romanian businessman Romeo-Jean Cosac, had been controlled by several private individuals prior to the takeover.
Selena Romania is trading eight groups of products, focusing on polyurethane foams.
Poland’s Selena group includes 30 companies in 18 countries and is listed on Warsaw’s Stock Exchange. The group reported sales of nearly EUR250 million in 2011. (EUR1=RON4.5262)