Money Buzz! Europa

Category: Investment

  • Enel to issue hybrid bonds up to a maximum of 1.5 billion euros

    Enel to issue hybrid bonds up to a maximum of 1.5 billion euros

    Enel decided to issue, by December 31st, 2021, one or more hybrid non-convertible subordinated bonds, in the maximum amount equal to the value of 1.5 billion euros.

    Bonds are to be placed exclusively with EU and non-EU institutional investors, including through private placements.

    The new issues are intended to refinance outstanding hybrid bonds for which early repayment options may be exercised as from this year, thus allowing the Enel Group to maintain a financial structure that is consistent with the assessment criteria of rating agencies and to actively manage maturities and the cost of debt.

    Enel Chief Executive Officer will have the task of deciding the issue of the new bonds and their respective characteristics, and therefore to establish, for each issue, times, amount, currency, interest rate and further terms and conditions, as well as placement methods and any listing on regulated markets or multilateral trading facilities, taking account developments in market conditions.

  • Veolia successfully issues a 12-year bond for EUR 500 million

    Veolia successfully issues a 12-year bond for EUR 500 million

    • Veolia took advantage of a constructive market window to issue EUR 500 million bond with a January 2032 maturity.
    • This bond bears a coupon of 0.80 % and was issued at par.

    The oversubscription ratio was over 8, which enabled Veolia to materially improve the issuing rate and achieve a final pricing which was 10 basis point lower than the secondary market.

    The high oversubscription rate, the quality of the investors in the order book, their good diversification (over 210 orders from Europe and Asia) and the good conditions which were achieved are signals of the significant appreciation of Veolia’s credit quality.

    The proceeds of this issuance will be used for Corporate General Purposes, and in particular as an anticipation of the maturity of some bonds happening at the end of 2020 and early 2021.

    In 2019, the Veolia group supplied 98 million people with drinking water and 67 million people with wastewater service, produced nearly 41 million megawatt hours of energy and converted 50 million metric tons of waste into new materials and energy.

  • Selvita raised over EUR 20 million in a follow-on public offer

    Selvita raised over EUR 20 million in a follow-on public offer

    • Selvita successfully allotted 2.38 million of C series shares, raising EUR 20.6 million from investors.
    • It is the second largest transaction in terms of capital raised, on the Warsaw Stock Exchange this year.

    As part of the Follow-On public offering of shares, investors could buy up to 2.38 million shares of the new C series, which constitutes about 15 percent of the current company’s share capital.

    The issue price of the shares was set at PLN 38,00. Selvita has achieved in full its intended goal regarding capital raise that was presented in the strategy published together with the announcement of the shareholders’ meeting.

    The capital raised will allow the company to execute the development strategy adopted for the upcoming years which assumes that in 2023 it will be able to achieve over EUR 70 million in revenues at a stable EBITDA margin and as a consequence reach a market cap of over EUR 230 million.

    The proceeds from the share issue will be used mostly on acquisitions of selected European CROs (app. 16 million EUR), and the reminder of the proceeds will be devoted to further organic growth of Selvita.

    Selvita, interested in acquisitions

    Selvita is interested in companies which will either complement the current offering, or will allow for the expansion of its scale of operations.

    In terms of the qualitative criteria for choosing the acquisition target, Selvita will favor entities supplementing their portfolio of services in the area of drug discovery or regulatory studies.

    By the end of 2023, the company intends to execute three acquisitions, with the first one taking place this year.

    Over the next three years, the Company plans to invest EUR 35-50 million in the acquisitions.

    Selvita Research Center to be finalized at the turn of 2022 and 2023

    As a key element supporting further organic growth, Selvita strategy includes establishment of the Selvita Research Center, with a research space of 4,000 m2.

    With the completion of the new Center, Selvita will have in aggregate 10,000 m2 of research space available.

    Initiation of the investment is planned for next year and expected to be finalized at the turn of 2022 and 2023.

  • PKN Orlen set to acquire a 65% stake in Ruch

    PKN Orlen set to acquire a 65% stake in Ruch

    ​PKN Orlen is set to acquire a 65% stake in Ruch and become the company’s majority shareholder, responsible for its development.

    The parties to the transaction have agreed on the terms and conditions of the deal in an investment agreement. PKN Orlen has also obtained clearance from the Office of Competition and Consumer Protection (UOKiK) to go ahead with the transaction.

    Alior Bank agreed to cancel Ruch’s debt of PLN 87.5m

    Under the investment agreement, PKN Orlen is to become the majority shareholder of Ruch, holding a 65% stake, with PZU, PZU Życie and Alior Bank as the other shareholders.

    Also, Alior Bank has agreed to cancel Ruch’s debt of PLN 87.5m. The transaction is contingent upon a final court decision confirming that the arrangements between Ruch and its creditors have been implemented as part of two accelerated arrangement procedures.

    PKN Orlen to open retail and food outlets in locations other than service stations

    In line with its strategy, PKN Orlen plans to open retail and food outlets in locations other than service stations, to serve as a platform for generating synergies with Ruch.

    Market research conducted by PKN Orlen has shown potential for rolling out its format in non-service-station locations using RUCH’s assets.

  • Campari Group acquires a 49% interest in online store Tannico

    Campari Group acquires a 49% interest in online store Tannico

    Campari announces that it has signed an agreement with all shareholders to acquire a 49% interest in Tannico, the leading e-commerce platform for wines and premium spirits in Italy.

    The transaction structure foresees that Campari acquires 39% of the share capital of Tannico and simultaneously subscribes to a reserved capital increase to reach, in aggregate, a 49% shareholding.

    Tannico has a market share of over 30%

    Founded in 2013, Tannico is the market leader in online sales of wines and premium spirits in Italy, with a market share of over 30%.

    With over 7 million unique visitors in the last 12 months, Tannico’s offering comprises 14.000 wines from over 2.500 domestic and international wineries.

    In 2019, Tannico achieved net sales of €20.6 million. Net sales for the past three years (2016-2019) was approximately 50% and such trend grew significantly in Q1 2020, also due to the COVID19 emergency, approximately reaching break-even from a profitability standpoint.

    Since 2017, Tannico has expanded its footprint to more than 20 markets, including USA, Germany, UK, and France.

    The overall consideration for the 49% interest is €23.4 million.

    Tannico held €1.6 million net cash as of 31 December 2019.

    Campari Group will have the possibility to increase its interest to 100% starting from 2025, based on certain conditions.

  • Norofert corporate bonds will start trading on BVB MTS today

    Norofert corporate bonds will start trading on BVB MTS today

    Norofert corporate bonds will start trading on Friday, June 5th, on BVB Multilateral Trading System (MTS), three months after the company’s listing on the AeRO market within the BVB MTS.

    The bonds were bought through a private placement by 93 investors (88 individual investors and 5 institutional investors).

    The private placement and the admission to trading were carried out by Tradeville, as Authorized Advisor.

    Norofert will use funds for expansion on the US market

    The company intends to use the funds attracted for expansion on the US market, more specifically for the approval of products in order to enter the US market.

    Norofert also intends to use the funds raised as working capital to support the growing demand for the company’s products, as well as the growing portfolio of services and product lines.

  • Adama will own 100% of Alfa Agricultural Supplies

    Adama will own 100% of Alfa Agricultural Supplies

    Adama announced it will acquire the remaining 51% stake in Alfa Agricultural Supplies, a leading Greek provider of crop protection and other agriculture-related inputs.

    Alfa, founded in 1983 by Mr. Vasileios Paisios, has served as Adama’s representative in Greece for more than 30 years, and the companies have been strategic partners in the country since Adama’s acquisition of a 49% stake in Alfa in 1993.

    The parties have entered into a series of agreements in terms of which Adama will acquire the remaining 51% stake that it does not already own in Alfa, while Alfa will divest its formulation and logistics operations to a new entity owned by the Paisios family.

    As a result, Adama will own 100% of Alfa’s commercial business including its wholly owned subsidiary Agribul in Bulgaria.

    The transaction is expected to be completed within the coming weeks following the completion of customary closing procedures.  

  • Businesses remain optimistic on foreign direct investment plans

    Businesses remain optimistic on foreign direct investment plans

    Analysis reveals that the COVID-19 pandemic disrupted many business plans leading to the delay or cancellation of 35% of 2019 foreign direct investment (FDI) projects into Europe, according to the 20th edition of EY Europe Attractiveness survey.

    This comes as analysis of 2019 projects highlights stronger YoY performance compared to the 2018 (0.9%, up from -4%)

    Based on research conducted in April 2020, 49% of respondents believe Europe is at risk of becoming a less attractive investment destination amid concerns over future economic instability as a result of the pandemic. However, in the near-term, investors remain bullish, with 51% of business leaders expecting a minor decrease in the number of new projects initiated, while 11% of respondents expect no deviation from their plans in 2020.

    Alongside this, 80% of leaders surveyed in April 2020 stated that government stimulus packages influence their investment decisions and will favor nations with stronger COVID-19 pandemic stimulus support measures in place.

    Mapping FDI

    Data reveals that 52% of FDI projects between 2015-2019 originated from countries within Europe, demonstrating FDI from Europe can be an incredible economic and transformational force for Europe. Analysis of projects in 2019 found that seven of the top ten investor countries were within Europe. Almost a quarter (23%) of projects originated from the United States.

    The analysis of FDI destinations found that in 2019 France saw the largest increase in new projects up 17% YoY, with 1,197 new projects – resulting in France overtaking the UK as the most attractive destination in Europe for the first time. Despite a drop-in the number of investment projects into Germany in 2018, analysis reveals that projects into the country remain level in 2019 (2019: 971 projects, 2018: 973 projects). 

    However, the United Kingdom remains attractive as investment increased by 5%, closely behind France with 1,109 projects in 2019. The UK growth aligns with a reduction of investors’ Brexit concerns, as just under a quarter (24%) of respondents (vs 38% in 2018) cite Brexit uncertainties as one of their top three risks to attractiveness across Europe.

    The report highlights that sectors that require a specialized workforce, such as construction, saw projects rise by 158% in 2019 (209: 124 projects, 2018: 48 projects), while the Information, Communications and Media (ICM) sector also saw a significant increase in FDI projects by 117% (2019: 241 projects, 2018: 111 projects).

    Despite strong performance in the textiles and clothing sector from Western Europe, FDI projects into central and eastern European countries fell, resulting in an overall sector decline of 22%. However, the survey found that almost four in ten (37%) businesses are considering an increase in their manufacturing presence in Europe.

    While data suggests that projects within the digital sector have fallen slightly (-1% YoY), 55% of organizations surveyed plan to enhance their digital customer experiences and business-to-customer interactions, while 82% expect technology adoption to accelerate in the next three years – a direct result of the COVID-19 pandemic creating new challenges and opportunities for businesses.

    FDI projects and job creation in Europe – a critical crossroad

    Between 2003 and 2017, FDI projects accounted for over 11m new jobs within the European Union. However, due to the COVID-19 pandemic, the report reveals a potential decline of up to 50% in the number of new jobs created following the completion of FDI projects. To safeguard against such potential downturns, governments must adapt their education and training and development systems to help make sure it can offer a workforce with the right skills in the post-COVID-19 landscape.

    Data suggests that the digital and business services sectors (including professional and legal services) generated almost a quarter of new jobs (24%) in 2019. Nations such as Ireland, Poland and Portugal, which attract FDI projects focused on service-orientated, software development and R&D, are likely to see new job creation rates remain high.

    While the outbreak of COVID-19 is having an impact on numerous sectors and industries, the transportation sector (including automotive and aeronautic manufactures and suppliers) is facing the biggest risk.

    The sector accounted for 23% of new jobs in 2019 (down from 25% in 2018). Research shows this sector has experienced the greatest supply chain disruption and revenue losses, leading to a greater proportion of projects being delayed, downsized or cancelled than in other sectors.

  • Apeiron Biologics, new financing round for the COVID-19 drug APN01

    Apeiron Biologics, new financing round for the COVID-19 drug APN01

    Apeiron Biologics AG will complete a capital increase to finance the further development of APN01 for the treatment of severely ill COVID-19 patients as well as the development of immuno-oncology projects.

    The Vienna Insurance Group (VIG) will lead the financing round and secures the private placement as an anchor investor, investment commitments from existing shareholders and new institutional and private international investors have been provided.

    In addition, the Austrian Research Promotion Agency (FFG), the Vienna Business Agency (WAW), the Austrian promotional bank (AWS) and the Erste Bank have committed grant funding and guarantees.

    APN01 is one of the most advanced drug candidates for the treatment of COVID-19 and one of the few therapy approaches specifically targeting the coronavirus, because it imitates the receptor ACE2 and thus offers a unique dual approach to treatment.

    Experts believe that accelerated market approval could be completed if the study shows positive results.

  • Benson Oak Capital sold online broker Klikpojisteni.cz (Klik)

    Benson Oak Capital sold online broker Klikpojisteni.cz (Klik)

    Benson Oak Capital announced that its private equity arm and co-investors have sold 100% of their stake in Klikpojisteni.cz (Klik) to a company majority owned by TA Associates, a private equity firm, and minority owned by MCI EuroVentures, a technology investment fund.

    Klikpojisteni.cz operates a leading online insurance brokerage in the Czech Republic and Slovakia under domain names Klik.cz and Klik.sk, with offices in Prague, Usti nad Labem and Bratislava.

    It offers clients the ability to transparently compare prices for non-life and life insurance products, including MTPL, CASCO, home, travel and term life insurance.

    The company will continue to operate as a wholly-owned subsidiary under the Klik brand and under the leadership of its original founder Andrew Fuchs and management team, including Aleš Rothbarth and Lukaš Pikal.

    Buyer also owns two leading Hungarian online insurance brokerages

    The buyer also owns Netrisk, which operates Netrisk.hu and Biztositas.hu, two leading Hungarian online insurance brokerages.

    Benson Oak and other investors funded Klik from its inception in 2011, and supported the company with multiple rounds of investment.

    Major broker shareholders will become minority shareholders in the combined group.

  • Total confirms the sale of UK North Sea non-core assets to NEO Energy

    Total confirms the sale of UK North Sea non-core assets to NEO Energy

    Total confirmed its commitment to completing the sale of its UK North Sea non-core assets, first announced in July 2019.

    Reflecting recent significant market volatility, Total and Norway-based private equity investor HitecVision have successfully renegotiated the financial terms of the deal to respond to the current environment – while Petrogas is no longer part of the transaction.

    Total and NEO Energy have developed detailed transition plans to deliver a smooth handover of operations upon completion, while allowing NEO to focus on embedding planned operating efficiencies and growth plans as rapidly as possible.

    Subject to regulatory approvals, the parties expect to complete the transaction by the third quarter 2020.

  • A new investment of 100,000 euros attracted by Gumzzz

    A new investment of 100,000 euros attracted by Gumzzz

    The search engine for the global dental industry developed by the startup Gumzzz from Cluj has attracted another investment of 100,000 euros from a medical entrepreneur.

    At the end of March, Gumzzz announced the first investment of 100,000 euros made by angel investor Stelian Bogza, co-founder of BenefitOnline.

    The second investor is Cristian Petri, the founder of Oral Design Lab & Clinic. The Gumzzz platform is now valued at over two million euros.

    For this year, the company is preparing a final round of seed investment, estimating that at the beginning of 2021 to raise a round of Series A.

    During the pre-launch of the platform, Gumzzz registered over 1500 users from all over the country, interested in scheduling their next visit to a dentist, through it.

    Gumzzz addresses both patients and offices, respectively dental clinics, focusing on improving the selection process of medical services, but also on providing solutions on dental health insurance and financing for patients, facilities that the platform intends to introduce in the next period.

    Currently, 27 dental clinics are listed from 13 cities in Romania: Arad, Baia Mare, Bucharest, Cisnadie, Constanta, Craiova, Timișoara, Cluj-Napoca, Iași, Oradea, Sighetul Marmației, Turda and Zalău.