Meta Estate Trust SA, a new company on the Romanian real estate market, announces that the General Meeting of Shareholders which convened on June 14th, 2021, approved the share capital increase with the amount of 20 million lei. The company aims to raise the amount from Bucharest Stock Exchange investors, through a private placement to be organized at the beginning of July 2021.
“The local residential market is at its all-time high and it offers a unique opportunity for investors. In just a few months, Meta Estate Trust has already managed to attract 30 reputable investors, determined to turn the company into an authentic success story. With 19 million lei already raised and 20 million lei planned to be raised this summer, we want to become an important player on the Romanian real estate and capital market. The upcoming private placement will offer a premiere on the Bucharest Stock Exchange: All investors will subsequently benefit from a preferential share allocation of 14.425% of the total amount invested,” stated Eugen Voicu, cofounder Meta Estate Trust.
Meta Estate Trust has a holding structure and aims to capitalize on the best opportunities in the local real estate sector, focusing on the large urban residential segment, represented in the first stage by Bucharest, Constanta, Cluj-Napoca, Iasi and Timisoara. In May 2021, Meta Estate trust has closed its first financing round, after having raised 19 million lei from 30 investors. The capital raised in the round has fueled the acquisition of approximately 40 properties – new apartments based in Bucharest, Constanta and Mamaia. In order to maximize the return on investment, before being sold or rented to the end customer, some apartments will be upgraded with the support of Delta Studio, a shareholder in Meta and one of the largest suppliers of luxurious interior design materials in Romania.
The business model adopted by Meta Estate Trust is unique in Romania and is based on a short cycle of capital turnover, of maximum 18 months. The company is also considering direct investment in shares of local developers to maximize the shareholder returns.
Meta Estate Trust is managed by a management company, Meta Management Team SRL, established by the six initiators of the project: Eugen Voicu through Certinvest Management Solutions, Ionuț Nicolescu, President of SVN Romania, Adrian Stanciu, founding member of Erudio and Ascendis Consulting, company Delta Studio, through entrepreneurs, Dragoș Bonea and Alex Bonea, Cosmin Mizof, Head of Risk Management at Certinvest and company Mentor 2 Invest. The objective of the Meta Estate Trust management is to reach a yield target projected as an annual average in the first ten years of over 15%.