The Chinese state-owned giant Avic is going to invest EUR 350 M in the Somes Dej cellulose and paper plant, alongside the Romanian Trading Services company, which will contribute EUR 150 M, “Adevarul” reports. The investment is meant to boost the output capacity from 70,000 tonnes to 550,000 tonnes per year, according to businessman Stefan Vuza, the manager of the Romanian Trading Services (SCR).
Following the transaction, Avic International Holding Corporation will become the majority shareholder in the Dej plant, holding 75 per cent of shares. “We signed the memorandum with the Chinese state, last week, in Beijing, thus sealing the biggest public-private partnership in Romania so far,” Vuza added. As a consequence, the number of jobs at the Somes Dej plant will rise by 1,000.
The Chinese chose Romania, after 11 months of negotiations, owing to its huge reserves of raw material (forests), Stefan Vuza explains. The project, amounting to a total of EUR 500 M, will be initiated next summer and will be completed, in a ratio of 75 per cent, by the end of 2014. Avic International Holding Corporation is a company owned by the Chinese state, which is operating in the sectors of defence, aviation, trade, logistics and investment management.
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