The actual transfer of ownership rights will take place on March 15, 2021. On the same date, the estimated price of EUR4.5 million shall be adjusted in accordance with the working capital.
Within the transaction, Romanian manufacturer Dynamic Selling Group will take over the Window Profiles business line of TeraPlast SA and TeraPlast Hungary company – window profiles distributor.
Following last year’s transactions, within TeraPlast Group shall remain: TeraPlast SA’s Installations and Compounds business lines, TeraGlass’ Windows and Doors business line, rigid PVC recycling of TeraPlast Recycling. To these, the flexible packaging business line which includes the companies Somplast and TeraPlast Folii Biodegradabile [i.e. Biodegradable plastic foil] – a manufacturer of biodegradable plastic sacks and bags – will be added.
In the first nine months of 2020, TeraPlast Group recorded a 14% increase in turnover, up to EUR167 million, and a 46% increase in EBITDA, up to EUR20 million.
The window profiles accounted for EUR9 million of TeraPlast’s turnover in the first nine months of 2020. The distribution network of this business line includes over 200 thermal insulation joinery manufacturers as well as the company TeraPlast Hungary.
TeraPlast Bistrița has a market value of RON882 million and its shares have been trading up 14.2% since the beginning of 2021, amid deals worth RON30 million, per stock market data.