Electro-Alfa International has realized one of the most successful Initial Public Offerings (IPO) on the Bucharest Stock Exchange for an entrepreneurial company in Romania. The amount attracted was around RON 580 million (EUR 115 million), for approximately 66 million newly issued shares, equivalent to a free-float of 35%.
Launched on February 2, the offer was closed early on February 6, due to high investor demand, both in the retail tranche, where oversubscription was over 5800%, and in the institutional tranche. Following the IPO, reputable investors such as the European Bank for Reconstruction and Development (EBRD) and NN Pensions entered the shareholding with over 5% of shares each, confirming the strong market interest in Electro-Alfa International and its long-term growth strategy.
The offer was structured in two tranches: one for retail investors and one for institutional investors. In the retail tranche, investors who subscribed in the first four days benefited from a discount of 5%, at a price of RON 8.4075/share, while institutional investors subscribed at the maximum offer price of RON 8.85/share.
In the public offer, the tranche for retail investors was initially set at 10% of the total shares offered. In view of the high level of interest, the company decided to top it up by a further 5%, so that the final allocation for retail investors amounted to 15%. The decision reflects Electro-Alfa International's respect for the interest shown by individual investors and the desire to offer them the opportunity to participate directly in the development of a Romanian entrepreneurial company with a solid history and clear prospects for growth.
Gheorghe Ciubotaru, founder and President of Electro-Alfa International, said: “For me, the listing of Electro-Alfa International is a highly emotional moment. More than 30 years ago, we set out on our journey with hard work, courage and confidence that we could build something sustainable in Romania. We have grown step by step, together with a dedicated team and partners who have been close to us at every stage. The fact that institutions such as the EBRD and major pension funds such as NN Pensii have chosen to invest in Electro-Alfa International is a strong validation of our journey. At the same time, we are pleased with the confidence of individual investors who have decided to join us. It is a great responsibility and we will continue to develop the company with the same seriousness, modesty and determination with which we started in 1991”.
Victoria Zinchuk, EBRD Head of Office, Romania: „Our partnership with Electro-Alfa marks an important milestone in strengthening the industrial sector and capital market in Romania. We are proud to support a company that combines solid engineering expertise with a strong vision for growth, innovation and modernization. This investment reflects the confidence we have in Electro-Alfa's leadership and its long-term strategy, and we look forward to working closely as the company expands its capabilities, accelerates its R&D agenda and continues to deliver high-quality solutions for Romania's critical infrastructure.”
Electro-Alfa International's market capitalization after the offering amounts to approximately 1,700 million lei, equivalent to $390 million or 327 million euro. Electro-Alfa International shares are to be admitted to trading on the regulated market of the Bucharest Stock Exchange under the symbol EAI, with an estimated start of trading on March 3, 2026.
The funds raised from the IPO will be used to support Electro-Alfa International's growth strategy, including strategic acquisitions, development of internal capabilities, investments in power generation and storage, innovation, expansion into foreign markets, and to provide working capital to participate in major projects.
The initial public offering was conducted through SSIF Swiss Capital S.A. and UniCredit Bank S.A., as Coordinating Intermediaries, while the law firm Clifford Chance Badea provided legal advice throughout the entire process. With this listing, Electro-Alfa International takes an important strategic step towards strengthening its position on the capital market and accelerating its long-term sustainable development.