Loading page...

Romanian Business News - ACTMedia :: Services|About us|Contact|RSS RSS


Review 2017: the number of companies and private investments increased as well as the number of insolvencies


The number of companies with Romanian capital as well as foreign capital set up this year increased as well as the investments, but a similar evolution was  met with insolvencies according to the data of the National Office of the Trade Register (ONRC).

The number of companies,individual entreprises  and PFA set up in the first 11 months of 2017 was 130,301 up by 30.12% as compared to the similar period of 2016. The most of these are companies with limited liability, 93,710. From the point of view of CAEN section, retail is dominant with 27,092 units, followed by agriculture with 13,313 and constructions with 12,105 companies.

As regards the commercial companies and authorised natural persons going into insolvency, the number grew in the first 11 months this year with 7,82% as compared to the similar period of 2016, at 8,256 units, say the data published on the site of the ONRC.

Most companies and PFA in insolvency are  from Bucharest, 1,817 respectively, up by 12,36% as compared to January-November 2016, the capital being followed by Iasi with 499 (+5.72%), Bihor with 469 (-9,63%) and Timis with 354 (-6.35%). The highest number of insolvencies was recorded in retail, auto repair – 2,536 up by 8,14%. Similarly in the period of January –November 2017 a number of 14,590 companies suspended their activity (-0.34%) and 28,186 were closed down (1,18%).

The number of professionals active from a judicial point of view increased by 5.61% since the beginning of the year, to 1.19 million, most active being in retail (377,221). They are considered as active from a judicial point of view the professionals registered with the Trade Register who did not state the suspension of their activity and are not in any of the states which could lead to the loss of the judicial identity. From the total number of professionals registered in the Trade Register were excluded the professionals with temporary suspension of the activity, the branches without judicial identity, written-off professionals, professionals in dissolution, liquidation,  judicial reorganisation, brankruptcy, insolvency, s.o.
Foreign companies and growing investments
According to the data of ONRC the number of companies with foreign capital newly set up increased in the first 11 months of this year, with 9.8% as compared to the similar period of the previous year, at 5,391 units, which have a social capital subscribed in total of over 38,9 million dollars, up by 9,5% as compared to the period January – November 2016.


During the year, the biggest number of companies with foreign capital were recorded in March, 591 units respectively, in exchange, the month with the weakest evolution was January with 327 units.

The total number of companies of this kind was at the end of November of 215,206 with a social capital of over 60.2 billion dollars. As a country of origin of the capital, the Netherlands is first, with 12.2 billion dollars and 5,101 companies, followed by Austria with 7.1 billion dollars and 7,376 companies and Germany with 6,58 billion dollars and 22,064 companies.

Romania registered in 2016 the weakest year of the last 18 years as regards the companies  with foreign capital newly set up. Thus, last year were set up 5,348 companies, dropping from 5,831 units, in 2015.After 1991, the most companies were set up in 2007, when there were registered over 15,000 companies. At the other end,the fewest were in 1995, 3,400 respectively.

According to the National Bank of Romania, direct foreign investments increased by 17.69% in the first ten months of this year, as compared to the similar period of 2016,at 4,098 billion euro.
Investment funds interested by the pharma, oil and natural gas
Romania is attractive for the investment funds in such sectors as pharma, oil and natural gas,  financial-banking services or production, thus playing in the same league with Poland, stated recently Radu Dumitrescu, partner Deloitte Romania, according to a press release.

We have assisted lately to a significant increase of the activity of investment funds in Romania, after several projects were closed successful, both at the level of funds raising and at the level of exits. Among the biggest tradings signed over the last period is the Profi acquisition by MEP or the acquisition by Allianz Capital Partners of a minority package in E.ON Distributie Romania. I expect the investment funds presented in Romania to contribute to signing big tradings in the next period and I would not be surprised to see tradings with values of hundreds of millions of euros with an investment fund included.Romania is attractive for the investment funds in sectors such as pharma, oil and natural gas, financial-banking services or  production.Romania plays in the same league with Poland and I am convinced that we have finally reached the map of the big investment funds’ Dumitrescu said.
According to Deloitte Romania, after one year of post-Brexit trouble, in Europe and Eastern Europe we see the signs of a coming back, fact which indicates one of the best years both for investments and for exits, as several investment funds in the region generated very good results for investors.

After a slight growth in spring, the trust of investors in Central Europe grew more in the last six months, reaching 130 Deloitte index, from 113 showing thus the best level of trust of the  last three years. This is due to trust in economy with 90% of the interviewees estimating a constant growth (64%) or improvement (26%) in the forthcoming months. Two thirds of the interviewees estimate that they will concentrate the efforts specially to acquisitions,  their financing being progressive, while twice more people estimate that the financing will grow over the next two years. 36% of the interviewees estimate that the size of tradings will grow and, this will be the biggest percentage of the last ten years’ the consultancy company said.

This shows a trust of the investment funds in the perspective of financing as most funds come from abroad.

The survey shows that big expectations of the sellers as regards the price are stable  and it is possible to grow. A third of the interviewees (31%) anticipate that the sellers will get more for their assets in the next months and the rest of 61% keep their current expectations. The majority (54%)  feel that the sellers have bigger expectations connected to price in the second half of the year.