The capital raised will be divided and used for the accelerated development of the three businesses. Thus, nearly 45% of the funds raised by TEILOR Holding will go to TEILOR and will be used to expand the jewelry store chain in Romania and Europa and for investments in the eCommerce platform.
In parallel, almost 33% of the capital will go to Invest Intermed GF IFN and the funds will be used to open new agencies and for the working capital need for their opening, as well as for investments meant to speed up the increase of the company’s market share in Romania. The rest of the amount, respectively 22%, will go to Teilor Invest Exchange. This capital infusion will be used mainly to fund the development of the agency chain in Romania and the necessary working capital to this end.
The two private placements, one in euros and on in lei, were carried out between November 18 and 26, 2021 and were brokered by BT Capital Partners and supported by Cornerstone Communications as Licensed Advisor of TEILOR Holding.
The company expects the 140,035 lei-denominated corporate bonds, in a total amount of over RON14 million, to be traded on the AeRO market of the Bucharest Stock Exchange under the ticker symbol TEI26 until the end of 2021. It also expects the 62,700 euro-denominated bonds, in a total amount of EUR6.27 million, to be traded on the AeRO market under the ticker symbol TEI26E.
Both bond issues mature on December 3, 2026.
TEILOR Holding’s corporate bonds represent the largest corporate bond issue in the history of the AeRO market, and the first issue of an entrepreneurial company. A total 139 investors, both professional and qualified, participated in the private placements of TEILOR Holding.
TEILOR Holding was established in 2021 and brings together all businesses of Romanian entrepreneurs Florin and Geanina Enache. TEILOR Holding has a share capital of RON350.5 million and is sole associate of TEILOR SRL, a luxury jewelry store chain present in Romania, Poland, Hungary and Bulgaria, Teilor Invest Exchange SRL, a network of exchange offices, and Invest Intermed GF IFN SRL, a non-banking financial institution.
TEILOR Holding is controlled by Florin Enache (with a 93.1% stake) and Geanina Enache (6.9%). On June 30, 2021, the company part of TEILOR Holding had 497 employees in Romania and abroad.
In 2020, the three companies had a combined turnover of RON192.2 million, an EBITDA of RON41.1 million and a net profit of RON30.6 million. Between 2018 and 2020, the combined turnover grew by 35.5%, due to the strategy of expansion and development implemented at the level of the three companies.
In the first half of 2021, the companies part of TEILOR Holding had a combined turnover of RON121.4 million, up 84% on the year. In the first half of 2021, the EBITDA stood at RON21.4 million and the net profit at RON13.8 million.