Croissants producer Derpan wants to raise 1.8 million euros through a bond issue

Croissants producer Derpan, a company that has been part of Golden Foods Snacks since 2022, wants to raise up to 1.8 million euros through a guaranteed bond issue, which will be listed on the Multilateral Trading System of the Bucharest Stock Exchange (BVB), according to information circulating in the market.

"The funds will be allocated to cover the working capital needs associated with the increase in sales volumes and the expansion of the customer base, both domestically and internationally," according to a presentation document of the market operation that will be brokered by Goldring, between August 4 and 8.

Derapan has two automated factories - in Filipeşti and Smârdan - through which it produces 8.13 million croissants per month - currently ranking third in the ranking of croissant producers and distributors in our country - and aims to expand production by 62% by 2029. The bonds will have a maturity of five years, with the possibility of early redemption in the second year, the minimum subscription being ten thousand euros.

"The issue is guaranteed by a first-rank mortgage contract on the registered Elmas trademarks, owned by Golden Foods Snacks and Derpan”, according to the presentation document.

The funds raised through the bond issue will contribute to optimizing production and increasing the capacity used in the two factories, given that the capacity used in 2025 is 67%, and the target for 2029 is 86%. Derpan had a net turnover of 96.8 million lei in 2024 - up 48.1% compared to the previous year - about 47% of the business achieved last year coming from the foreign market.

"In 2023, this channel recorded significant growth, with the start of collaboration with Jeronimo Polonia - a strategic partner that operates a network of over 3,500 stores. At the same time, Derpan enjoys increased interest from important players in the United States market," according to the document.

In the domestic market, most of Derpan's business is carried out through large retail chains (supermarket and hypermarket chains), while 6% of the turnover was achieved through independent and small stores in the traditional retail network. The company estimates that it will achieve a turnover of 124.1 million lei this year, 28% more than in 2024, while the net profit is estimated at 1.82 million lei, double compared to last year's 0.91 million lei.

At the end of last year, the company had total assets of 69.1 million lei, a value estimated to increase to 74.1 million lei this year, while total liabilities amounted to 43.2 million lei last year, the forecast for this year being 46.5 million lei, according to the presentation. "Golden Foods Snakcs, the main shareholder of Derpan, listed on BVB-SMT and successfully concluded three bond issues with maturities in 2022, 2023 and 2025," the document also states.