Romanian online home decoration retailer raises €3.5mn in bonds

Romanian online home decoration retailer raises €3.5mn in bonds
By bne IntelIiNews March 10, 2020

Romania-based Vivre Deco, one of the largest online retailers of furniture and decorations in Central and Eastern Europe, successfully completed a private bond placement and raised €3.5mn. The bonds will be listed on the AeRO platform of the Bucharest Stock Exchange.

The funds raised will be used to finance the company's accelerated development strategy by capturing the market, in particular through investments in marketing tools, with the aim of expanding the customer base and increasing brand awareness, as well as through investments in technology and automation.

The bonds mature in 2025 and carry a 5.25% annual coupon, according to a statement from Banca Transilvania Financial Group, which managed the placement.

Vivre Deco was founded by Romanian entrepreneur Monica Cardogan. One of its significant shareholders is the Neogen group, founded by Calin Fusu.

In 2019, Vivre Deco recorded revenues of about€42mn, an operating profit of €1.5mn, and a net profit of €0.71mn.

The company operates on nine markets in Central and Eastern Europe and has shown sustained development over the last five years, with turnover increasing by an average annual rate of 28%.