Construction and real estate development company Novarion has announced its intention to list on the AeRO market of the Bucharest Stock Exchange by the end of the year or at the beginning of next year.
Listing will take place following a EUR 70,000 grant obtained through the EU-backed National Recovery and Resilience Plan, or PNRR.
Raul Țărnaru, founder and CEO of Novarion, said that the company is targeting an EUR 10 million valuation. Roughly 10% of shares will be listed for EUR 1 million, according to Economedia.
Novarion is working with financial consultant VERTIK on the listing process. The company will conduct a private placement of shares, during which it will carry out a capital increase. “This is the first stage; later, we want to grow further and make more capital increases,” said Raul Țărnaru.
The company to be listed will be DMX Construction, which will be renamed Novarion DMX and will change its holding structure.
The construction company to be listed has two branches, according to Țărnaru. “One is business-to-government. We currently make about EUR 10 million per year with the government through public tenders, mainly thermal rehabilitation projects through PNRR. The other is the real estate component, where we are both developer and general contractor in our own project. It’s 50%-50%,” he said.
The CEO also highlighted that the current shareholders will retain control of the company, seeing as the package of shares is small.
The company is currently set to build a hotel in the central area of Sibiu. “ted. We will either expand our partnership with HUBIX or find a partner in the hospitality segment. It will be a branded hotel; we already have letters of intent from Hilton, Marriott, and Accor, and we are entering negotiations.” Another development is also currently in the authorization phase.
(Photo source: Novarion xperience the future on Facebook)
Leave a Reply