We invest in companies and in the people who lead them. The Fund’s focus on financial services has generated a series of successful exits. A new follow-on fund, the Balkan Accession Fund (BAF), is currently investing in opportunities arising from the 2007 EU accessions for Romania and Bulgaria.
The Balkan Accession Fund’s growth holdings included DOMO (exited in October 2007), one of the nation’s leading consumer retail enterprises.
Balkan Accesion Fund (BAF) is investing in companies that are industry leaders in double digit growth sectors and in industries with strong consolidation potential. The target companies have strong management in place, growth rates higher than sector growth and clear domestic and regional expansion strategies. The total number of investments for the Fund is expected to be in the 10 to 15 range. Three to five new investments per year are planned. The size of an individual investment will typically fall between EUR 3 million and EUR 7 million.
Balkan Accesion Fund invests in financial services, retail, logistics and distribution, consumer products, information technology and telecommunications (IT&C), healthcare, selected industrial, media and other consumer related services.
Balkan Accesion Fund is a follow on Fund to RAEF. Current RAEF holdings includes Intercapital Invest, one of the oldest brokerage companies in Romania.
There is a more complete list here of RAEF holdings.
RAEF also manages an Energy Fund, the Romanian Industrial Energy Efficiency Company (RIEEC). The company makes standardized investments in on-site co-generation systems that will enable companies to reduce real energy production expenses by as much as 60 percent.
Only 20 percent of the nation's electrical generating plant capacity is less than 15 years old. More than 30 percent of all plants are 25 years old or more. The investment required to refurbish the generation capacity of Romania is estimated at $4 to $5 billion over the long-term, with $900 million for modernization of transmission and distribution systems alone.
RAEF also operates a major Micro Loan enterprise in Romania. The loan operation is low risk, generating income from business loans across Romania.
Please click here for more details on Micro Loans.