Gabriel Carlig, the majority stakeholder in lingerie producer Jolidon Cluj, has announced another surprise move - the takeover of one of its most powerful rivals on the market, Argos of Cluj. The takeover will create the largest producer in Romania within this domain.
"The transaction has not yet been concluded. There are several stages we must go through, but I think it will be finalised in September," Carlig told Ziarul Financiar. He was unwilling to provide information regarding the price offered for Argos stock or the future development strategies. Prior of this transaction, Jolidon held a stake of almost 10% in Argos. It will come to own a majority stake following the acquisition of the 60% stake held by PAS (the association of employees) in Argos.
Angela Popescu, Argos general manager, declined to offer details concerning the transaction. "I cannot say anything at this moment," Popescu stated.
Late last year, Argos had its first taste of privatisation involving an Italian investor, but the process failed. At that time, PAS had decided to organise a tender to sell the stake, which attracted an Italian investor, Antonio Scanagata, and the Cluj-based company Tricotaje Somesul. The tender was won by the Italian, who offered 14.8 euros/share, though the investor then failed to make the payment by the maturing term. In this way Tricotaje Somesul, Argos' "sister" company, became the next favoured investor. Tricotaje had bid 13.2 euros/share, and if it had taken over the company it would have managed to reconstruct the old company, Intreprinderea de Tricotaje Somesul, which was split in 1991.
The appeal of Argos does not merely consist in its brand and products, but also in the real estate it owns, considering that prices for buildings situated in the centre of Cluj are extremely high, ranging between 2,000 and 3,000 euros/square metre. Argos' situation became complicated after several former employees of the company, holding shares but working for Jolidon, solicited and obtained through the courts the suspension of negotiations for the sale of the stake owned by PAS, being unhappy with the way the stock was allocated within PAS.
Carlig established Jolidon 11 years ago, and in ten years the number of stores distributing the products manufactured by the Cluj-based plant had exceeded one thousand nationwide. The company started developing its own store network as early as 1998, one which currently includes 30 stores. Jolidon products were exported for the first time four years ago, when the first branch was opened abroad, in Budapest.
stelian.negrea@zf.ro
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
