Foreign Contribution To Romanian Cos Shr Cap At EUR1.1B In 1QPublish date: 07-05-2009
Foreign investments as contributions to the share capital of Romanian companies totaled around EUR1.1 billion in the first quarter of 2009, down 20% from EUR1.39 billion in the corresponding period a year earlier, according to Trade Registry data.
In March alone, parent companies invested around EUR230 million in their Romanian units, almost double from EUR125 million in March 2008, but half compared with EUR446 million in February 2009.
The auto, banking, pharmaceutical, retail, iron and real estate industries were among the sectors that benefited from foreign funds in the first quarter of 2009.
Thus, US carmaker Ford made the largest capital inflow in the first three months of the year, with a EUR200 million contribution to its Craiova-based plant.
Romanian pipe producer TMK-Artrom Slatina, owned by a German company, ranks second, with EUR57 million subscriptions in February, while Bancpost, a unit of Greek bank EFG Eurobank, is on the third position, with a EUR53.6 million capital inflow.
Other significant subscriptions were carried out in the analyzed period by auto parts maker Schaeffler Romania, with German shareholders (EUR50 million) and Pirelli Tyres Romania (EUR46.7 million).
In March, Kaufland Romania, the local unit of Germany's food retailer Schwarz, and Real, owned by German retailer Real, also benefited from EUR31 million capital inflows each.
The number of newly-established companies with foreign capital fell 40% at 2,051 in the first quarter of the year, from 3,338 a year earlier.
In 2008, foreign parent companies invested EUR3.9 billion in their Romanian units, up 62.5% on the year.
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