Romanian electro-IT retailer Altex will borrow EUR 12 mln from the European Bank for Reconstruction and Development (EBRD) to expand its logistics center in Dragomiresti Vale near Bucharest.

The loan, with a maturity of 8 years, plus a one-year grace period, will be used to finance/refinance up to 70.5% of the costs related to the construction of a greenfield logistics center with a total area of 37,144 meters square (sqm), located in the commune of Dragomirești Vale near Bucharest, according to an EBRD statement.

The total cost of the project is EUR 17 mln. The retailer will finance the difference from its own funds.

In October 2018, Altex bought a plot of land of about 15 hectares in Dragomiresti Vale to develop, in two stages, a logistics center with a total area of approximately 90,000 sqm under an investment estimated at over EUR 37 mln.

The first stage of the project was 80% financed by EximBank.

Altex is the largest electro-IT retailer in Romania, with a market share of about 30% and a network of 125 stores. Its turnover passed RON 4 bln (EUR 840 mln) in 2019. The company's owner is local entrepreneur Dan Ostahie.

(Photo: Pixabay)

andrei@romania-insider.com