Romanian pump manufacturing company Aversa will invest EUR 15 million in a new 25,000 sqm factory to relocate its activity from the Obor area of Bucharest. The investment includes 3D design technology, better equipment and a new testing stand.

“The new factory will be more efficient, cut costs, increase capacity. It should employ 480 people by 2018,” according to the company's statement. It did not mention where it plans to build the new factory.

Aversa, which was privatized in September 2013, after insolvency, received request for products from Russia, Pakistan, EAU, Brazil and Ukraine. Its ongoing orders total some EUR 9.3 million.

The company will focus on producing large format pumps, and seek suppliers for small pumps to offer to its clients.

Aversa Manufacturing is underway with talks for an international partner to expand sales in Europe and on developing markets.

“Romania offers numerous competitive advantages for production, compared to Western European markets. It also has an educated and qualified workforce, with strong foreign language skills, and a competitive cost structure. […] Aversa Manufacturing will continue to invest in the factory, in products and employees, to ensure the strategic development on the long term,” said Michael Topolinski, president of Aversa Manufacturing (in picture).

Topolinski, known as a real estate investor, took over Aversa via his real estate investment company Benevo last year. Aversa had been insolvent for seven years. The real estate firm, in joint venture with partner Autoplast, took over business, factory and 10 hectares of land in Bucharest, near the Obor market.

The value of the acquisition was of EUR 17.3 million. The ministry asked for a EUR 5.1 million guarantee for continuing Aversa’s activity, in order to avoid the closure of the company, while its large plot downtown will be used for real estate.

“Benevo intends to invest capital and its expertise to relocate the business in Bucharest to a more technologically advanced factory and employ a minimum of 200 people,” Topolinski said at the time.

He did not reveal the company’s plans for the 10-hectare land plot near the crowded Obor market.

editor@romania-insider.com