Finergis lnvestments, the holding company controlled by DBG Eastern Europe II, LP (“DBG”) has sold its 17% minority shareholding in Eurofilms SA, one of the largest producers of stretch films in Poland, during its recent IPO.
On June 6, 2006, the management of Eurofilms announced that the IPO of Eurofilms was a great success. Private investors subscribed for over five times more shares than were offered. New shares issued brought Eurofilms over PLN 16 M in new capital. Eurofilms plans to use this money to finance capital investments in order to significantly increase its production of stretch and PVC thermoshrink films. In addition to the newly issued shares were also sold by the existing shareholders: (i) Ergis, disposed of only a small part of its shares, thus it shall keep a majority shareholding in Eurofilms post IPO; and (ii) Finergis lnvestments sold all of its shares.
DBG’s partial exit of Eurofilms follows it’s partial exit of Flanco, a leading Romanian electrical retailer, to the largest Romanian IT retailer and distributor, Flamingo in early May. Flamingo is listed on the Bucharest Stock Exchange. DBG has retained a significant indirect stake in Flamingo.
Jacek Korpala, a Partner at DBG stated, „We are happy that stock exchange investors shared our positive view and belief about future prospects of the Company. Although DBG has indirectly sold its minority shareholding in Eurofilms, we are still majority shareholder in Ergis (through Finergis Investments), which controls Eurofilms. We are convinced that Eurofilms is capable to grow export sales and strengthen its position on the Polish market. We hope that Eurofilms shall be a successful investment for both existing and new shareholders.”