The REI team obtains state aid for Sterk Plast, one of the largest plastics production companies in Romania
REI Finance Advisors, one of the fastest growing consultancy firms specializing in attracting non-reimbursable funds to Romanian companies, successfully negotiated € 2.5 million in state aid for Sterk Plast, l ‘one of the most important plastic production companies in Romania, which is part of a 5 million euro investment project.
The project aims to expand the production capacity of the Sterk Plast factory in Medgidia, with a total value of 5 million euros, while the state aid, obtained under the aid scheme of State regulated by GD 807/2014, will provide 50% of the project investment.
“We have sought to find the best solution to finance our investment project by increasing the production capacity of the Sterk Plast plant, or by purchasing new equipment that will increase both the current portfolio and the possibility of launching new ones. product lines in the local market. In addition, the expansion of production capacity will help us increase our export presence, targeting 40% of our sales for the next few years on Bulgaria, Germany, United Kingdom, Greece, Hungary, Poland, Republic of Moldova, Ukraine or Russian Markets. The total investments of Sterkplast in Romania reached more than 20 million. euros so far and will continue in the years to come“declared Suleyman Islambay, director of Sterk Plast.
Sterk Plast, a company specializing in the production of plastics, launched a large investment project in 2015 in a new factory located in Medgidia, Constanta County, with an area of over 42,000 m2. In 2018, it became operational. The company employs more than 450 people and achieved a turnover of around 27 million euros in 2020.
“We are pleased to have been able to fulfill all the conditions necessary to obtain the financing agreement with the Sterk Plast project within a very short timeframe of about three months, aimed at expanding the production capacity of the Medgidia plant. More and more companies started to develop investments last year, using a financing solution of up to 50% via the state aid scheme regulated by government decision 807/2014, for projects with a minimum investment value of 1 million euros. These are the last months in which companies can still apply through this scheme and the interest is very high, mainly due to the much more flexible terms, the short timeframe of the agreement and the possibility of setting up. works over a longer horizon, that is to say until 2028.“, mentionned Dan Bold, Business Development Manager at REI Finance Advisors.
The scheme covered by GD 807/2014 is the only non-refundable source of funding for investments available at present, where there is an open session and projects can be submitted continuously until 12.31.2023 and can be implemented gradually, until 31.12.2028. Acquisitions can also be initiated after the business plan has been submitted to the ministry and the procurement process has been completed. It is not necessary to wait for the issuance of the agreement for an additional period of 3 to 4 months, unless the beneficiary wishes.
The program provides 10% non-reimbursable funding for projects implemented in Bucharest, 35% – Ilfov and the west of the country (Arad, Caraș-Severin, Hunedoara and Timiș counties) and 50% non-reimbursable funding in the rest of the country. country.
Both start-ups, owned by shareholders who are no longer involved in other companies operating in the same field, SMEs or large companies, with thousands of employees, are eligible for funding. The condition would be that the applicants have made a profit during at least one of the last 3 years of activity.
REI Finance Advisors is the only consultancy company in Romania, specialized in the search for non-reimbursable financing via European funds or state aid, with 8 regional offices. REI drafts the projects and implements them with the beneficiaries until receipt of the final tranche, and support can be provided at the request of the company, including during the monitoring period of the project.
For this year, REI aims to obtain the financing of at least 100 companies through the government aid scheme governed by GD 807/2014.