Encore Capital Trust organizes a new round of financing to attract RON 29.7 million

Investing company Encore Capital Trust (ECT) will organize a new private placement in November, through which it aims to attract a financing of a maximum RON 29.7 million, the decision being already approved by the General Extraordinary Meeting of Shareholders.

This will be the second share capital increase for ECT, after the company successfully completed in June the first round of financing, attracting RON 17.7 million from several successful entrepreneurs and managers from the local business environment, such as Dan Șucu (founder of Mobexpert), Marius Hanganu (co-founder Tremend Software), Iosif Szavuj (founder Ines Group), Silviana Berciu (founder BDG Import and Loft) or Cristian Becheanu (founder Arta pharmacies).

The company’s current equity capital is RON 18.2 million (approximately EUR 3.7 million) and can reach a maximum of RON 48 million (approximately EUR 9.8 million) after the full subscription of the new shares. In the event that the new shares issued within the current capital increase will not be fully subscribed by the current shareholders, they will be offered to third parties at an issue price of 1.05 RON / share.

”The results registered after the closing of the first private placement were excellent and the shareholders’ trust in ECT’s business model led us to organize a new round of financing in such a short time, less than five months. We identified and realised very attractive investments and the current annualized return exceeds the 20% objective set per year. The real estate market continues to present numerous opportunities and our negotiation capacity, expertise in identifying the most suitable investments and in concluding financing partnerships with developers are the main arguments that lead us to be confident in the evolution of the company towards a portfolio worth tens of millions of Euros in the following years,” stated Robert Butoi, Executive Director Encore Capital Trust.