Beltrame Group to develop a new steel product plant in Târgoviște, more than 1,000 jobs to be created

0

Get real time updates directly on you device, subscribe now.

Beltrame Group wants to invest over 250 million euros for the modernization of the special steel plant in Târgoviște, after the completion of the acquisition, the Government announced on Wednesday. The group also announced that it wants to develop in Târgoviște a new plant for the production of steel-concrete and rolled wire.

Romanian Prime Minister Ciuca met with the representatives of the Beltrame group on Wednesday, after the completion of the acquisition of the Târgoviște Special Steel Plant.

Production will kick off at the recently acquired plant in the coming months, after investments in refurbishment are completed.

“The Group’s representatives announced that they plan to develop a new plant in Târgoviște for the production of steel-concrete and rolled wire. These investments will generate 200 new jobs from the first stage, until the completion of the development plans, with a total of over 1,000 jobs to be created overall,” the government said.

According to the Executive, the investors will also build two photovoltaic parks, which will contribute to the electricity supply of the production capacities.

At the same time, Beltrame Group announced it had completed the acquisition of the functional production assets of the Târgoviște Special Steel Plant, by concluding the transfer of ownership documents and full payment of the price in the amount of 38.3 million euros + VAT.

Over the next 4 years about €100 million will be invested in modernising the machinery, i.e. the steelshop and rolling mills, and approximately €40-50 million in providing working capital.

„The acquisition of COS Targoviste is an important step in the Beltrame Group’s expansion strategy in Romania and confirms our long-term commitment to the development of the local steel sector.  COS Targoviste has a strong history in the steel industry, so we are honoured to have the opportunity to revitalise this steel giant. We expect to start production in the existing steelworks and the two rolling mills in early June, in order to supply the internal market with rebar and wire rod and stop the market’s dependence on imports, especially in the context of the conflict in Ukraine”, says Carlo Beltrame, Group Business Development at AFV Beltrame.

At first, at COS Targoviste, we will produce rebar, and as the modernisation work and workforce training progresses, it will return to the production of special steels for which it was originally built. The reopening of the production plant will create about 450-500 new jobs in the near future, with the aim of increasing capacity to about 1,000 new jobs in the coming years. At present, about 70 employees are working at COS Targoviste, mainly to keep utilities up and running and maintain equipment.

AFV Beltrame Group is present on the Romanian steel market since 2007 and owns the Donalam rolling mill in Calarasi, specialized in the production of hot-rolled special steel bars for use in various industries, from oil and gas, automotive, large mechanical and hydraulic equipment, to agricultural machinery and equipment. Donalam ended 2021 with a turnover of EUR 118 million, up 90% compared to 2020 and a sales volume of around 159,000 tons of steel bars. The Company estimates a turnover of over 160 million euro in 2022, with an increase of 30% and a sales volume of around 170.000 tons of steel bars. It currently employs more than 340 people.

- Advertisement -

Leave A Reply

Your email address will not be published.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More