Dan Steel Group’s Beclean wire mill, one of the most important companies in the Romanian steel industry, which is in bankruptcy proceedings, has been sold at a public auction for 7.5 million euros to Intertranscom Impex SRL, a manufacturer of welded mesh. from Bacau. The new owner – businessman Ioan Tesaru – plans to restore production and once again turn the factory into one of the main employers in Beclean.

“After a long and thorough process, we managed to identify viable investors for one of the companies that played a key role in the metallurgical industry. Thanks to this successful agreement, we are creating conditions for the further efficient development of the steel industry in Romania, and we manage to save another important goal in the history of Romanian business,” says Andrej Besoyu, Sales Manager of CITR Cluj.

Established in 1991, the company Dan Steel Group Beclean SA is mainly engaged in the production of ferrous metals in primary forms and ferroalloys (nails, galvanized wire, braided wire, welded meshes, panels, etc.), intended for both the domestic and foreign markets (Hungary, Poland, Serbia, Czech Republic, Slovakia). The products produced by the company were mainly intended for construction and agriculture, as well as other industries that produced consumer goods.

The decline in turnover began in 2017, when a decrease in business volume led to a reduction in working capital, as well as a significant increase in debt. Last but not least, the measures introduced in 2018 by the European Commission on the import of certain categories of steel industry products forced Dan Steel Group Beclean SA to source its raw materials from the EU under much more onerous contract terms for this, and with advance payment, which created additional pressure on the financial condition of the company, which has accumulated debts in the amount of more than 35 million euros.