Polish group PKP Cargo, the second-largest railway transport group in Europe, has initiated negotiations for the acquisition of three small sized Romanian companies: Vest Trans Rail, Ferest Logistics and Romcargounit, according to the Polish media quoted by Ziarul Financiar.

The three Romanian companies are controlled by two Romanian investors: Ion Garoseanu (from Ploiesti) and Florin Diaconu (Bucharest).

The largest company involved in the negotiations is Western Trans Rail, 91% owned by Ion Garoseanu with the remaining 9% owned by Florin Diaconu, Business Magazin informed.

West Trans Rail has been operating for 27 years in the rail freight industry, employs 184 and its turnover amounted to about RON 70 million (EUR 14.7 mln) in 2018.

The company reported RON 0.8 mln net profit. PKP Cargo announced in a press statement that the negotiations carried out for the three Romanian companies are part of the group’s expansion strategy in Central and Eastern Europe, in 2019-2023, according to PolandIn. The board of PKP Cargo, however, stressed that the negotiations may not lead to the desired result.

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editor@romania-insider.com