Croatia-based FMCG distributor and logistics company Orbico Group has acquired a majority stake in Romania's Interbrands Marketing & Distribution.
In January 2019, Orbico acquired a 25% stake in Interbrands.
After obtaining the approval of Croatia’s Agency for the Protection of Market Competition and the fulfilment of the other terms of the share purchase agreement, the company has procured an additional 35%.
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Interbrands is one of the leading Romanian distributors of global brands such as British American Tobacco, Philip Morris, Procter & Gamble, and Nestlé.
With 60% stakes, Orbico will be the majority owner of Interbrands for the next three years.
After the expiration of the deadline, Orbico will acquire the remaining 40% to become the sole owner of Interbrands.
Bucharest-based Interbrands reported revenues of €200 million in 2018, with EBITDA of around €10 million.
Orbico Group ended 2018 with a turnover of €2 billion and is targeting €2.3 billion for the end of 2019.
According to local daily Poslovni Dnevnik, Interbrands' turnover could increase to at least €500 million when fully owned by Orbico.
Orbico Group owner Branko Roglić said that Romania is set to become the company’s second-largest market in terms of revenue after Poland (€800 million in 2018).
Orbico operates in 20 markets, including the Czech Republic, Slovakia, Hungary, all the former Yugoslav countries, Albania, Bulgaria, Moldavia, Ukraine, Belarus, Russia, Germany, and Austria.
The value of the deal has not been disclosed.
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: The European Supermarket Magazine.