French industrial group Vinci Energies reached an agreement to take over Romanian refrigeration expert Frigotehnica in what is the first exit announced by distressed assets investment fund ROCA Investments, Wall-street.ro reported.

ROCA took over Frigotehnica from another investment fund - Axxess Capital.

The company was heavily indebted at that time following the deep losses incurred in the previous years. Shortly after the takeover, Frigotehnica gave a plot of land (2ha) to the APS debt collection firm in exchange for EUR 12.8 mln.

In 2018-2019, Frigotehnica posted net profits of nearly EUR 2 mln per year, ending 2020 with a profit of under EUR 1.2 mln.

ROCA Investments disclosed no financial details about the investments at Frigotehnica, such as the price paid, subsequent capital injections, share acquired (if not 100%), sale price.

The deal is subject to permits issued by the competition body. ROCA joined Frigotehnica as a shareholder three years ago, and the company's turnover rose from EUR 18 mln to EUR 32 mln during this period of time, investment fund's representatives said.

Official data show Frigotehnica's revenues rose from RON 89 mln in 2017 to RON 126 mln in 2020. ROCA's representatives said that the exit is not a necessary step in the fund's strategy, but this was an opportunity.

"Exits do not define our business model, but when opportunities arise from which all parties have something to gain, they must be taken into account. Although there were several potential buyers, in choosing the right partner we relied on the criterion of ensuring the evolution of the company to fulfill the mission Frigotehnica and in accordance with the values ​​of ROCA Investments and the Impetum group of which ROCA is part," said in a press release, Rudi Vizental, CEO of ROCA Investments.

(Photo: Frigotehnica Facebook Page)

iulian@romania-insider.com