The goal of the technical assessment is the substantiation of the investment that the Chinese company would make in Romania. Thus, a company development plan will be drafted, a plan that would also include the introduction of new technologies and products for foreign markets. Minister Mihai Tudose expressed his desire to see concrete steps taken toward the finalizing of this project and assured the Chinese partners of the Economy, Trade and Tourism Ministry’s full support. The official pointed out that “because of the company’s management, Oltchim has become more attractive, kindling the principled interest of other investors too.”
In Q1 this year Oltchim registered the best economic-financial results in the last four years, after the company’s turnover grew by 35 per cent year-on-year. Moreover, Oltchim’s strategy centred on regaining the trust of its mainly-foreign customers, so that its exports currently represent over 70 per cent of its turnover.
Xie Changqing, the representative of the Chinese delegation, expressed his confidence that, alongside Romanian authorities, Chinese authorities will also make possible the takeover of the chemical plant in Ramnicu Valcea and its transformation into a successful business.
Oltchim went insolvent in January 2013 and is currently undergoing a restructuring process. The Romanian state is its main shareholder, owning 54.8 per cent of its shares through the Economy Ministry. According to the trustee in bankruptcy’s report, in Q1 this year Oltchim substantially improved its economic-financial results compared to last year. Thus, its turnover grew by RON 94 M to RON 364 M, namely by 35 per cent year-on-year, and by RON 154 M or 73 per cent compared to H1 2013. The total losses dropped by RON 138 M in two years, namely from losses of RON 147 M in H1 of 2013 to losses of RON 9 M in H1 this year.
The company’s EBITDA indicator improved by RON 90.1 M, from RON -65.7 M in H1 2013 to RON 24.4 M in H1 this year. (source: nineoclock.ro)
