Investment wave in Romania coming from the east

“To date, British, Austrian and German investors have come to Romania. We already have many demands to evaluate companies on behalf of investors from Poland and Hungary. I believe that the number of these countries will increase in the coming period,” said Wilson Balachandra, Partner, Transaction Services for KPMG Romania.

Other sectors that attracted investors last year were financial services, retail and the pharmaceutical industry. KPMG consultants are expecting the rhythm on the Romanian merger and acquisitions (M&A) market to be as intense in 2008, although somewhat less ambitious, due to major business opportunities on the local market.

The largest transaction in 2007 was the takeover by KazMunaiGas of 75 percent of the Rompetrol group for €2.5 billion, making up half of the total value of the M&A market.

The most attractive sectors for M&A in 2008 will be production and construction, as well as distribution and pharmaceuticals, and KPMG’s Partner believes there will an increase in private equity transactions.