“We have been carrying talks to acquire two poultry meat production units for half a year. The deal could be sealed even this month as we are in advanced talks,” Transavia’s general manager and owner, Ioan Popa, told Mediafax.
Popa failed to disclose the names of the production units and the value of transactions, but added the company might keep some of the new employees provided they adjust to Transavia’s rules. Following the two acquisitions, Transavia will reach 2,200 – 2,300 employees, from the current 1,600.
The acquisitions are part of Popa’s plan to reach a production of 100,000 tons of poultry meat per year. Transavia’s current production capacity exceeds 55,000 tons of meat per year.
Transavia’s last acquisition was in 2007, when it bought Avicola Brasov, which accounts for 34% of the company’s total production.
This year, Transavia has started to export fresh meat to Bulgaria, Greece and Croatia. The company’s exports also target Great Britain, Spain and France. Exports make up nearly 15% of its overall sales.
The company has invested EUR12 million in the first nine months of 2014 and may reach EUR14-15 million by the end of the year, nearly double from its early-year forecast of EUR8 million. In 2015, the company’s investment plan depends on completing the acquisition of the two production units.
Transavia targets 8%-12% higher sales and at least 50% higher pretax profit at the end of 2014. In 2013, the company’s sales stood at EUR135 million and its pretax profit reached EUR12.5 million. Thus, Transavia expects to reach sales of over EUR150 million and pretax profit of nearly EUR19 million at the end of 2014.