Delta Holding to Enter Online Trade Sector with Ananas Platform – Intention to Create Regional Giant

The year of the pandemic 2020 was challenging for the operations of Delta Holding, which celebrates its 30th anniversary on February 4. With a drop of income of 2.2% and a growth of EBITDA of 7.5% compared to 2019, Delta is satisfied with its results, especially in the agrarian sector, and they have also announced their entry into a new field for them – the sector of online trade.

In the upcoming years, Delta plans to continue its big investment cycle, primarily in real estate, worth a total of around EUR 500 million. The big news in 2021 is the company’s entry into a new kind of business – online trade.

Delta is already well on its way toward developing an e-commerce platform called Ananas, which will become active in the first half of the current year. It will be characterized by a wide range of goods, cooperation with the biggest suppliers, but also, they say, a whole new user experience. The investment in Ananas in the next five years will amount to EUR 100 million.

– With the financial strength and investing experience that delta has, we are convinced that we can create a regional giant in online trade. Ananas will offer users something they are not used to in local trade and which only the largest global traders, such as Amazon or AliExpress, have. Initially, we will cover the market of Serbia, but the intention is to soon expand to the other markets of former Yugoslavia, plus Albania – says Marija Desivojevic Cvetkovic, the vice president for strategy and development at Delta.

According to Milka Vojvodic, the senior vice president for finance and economy, in its 30 years of operations, Delta has realized an income of EUR 24 billion, primarily in Serbia, but also in the countries of the region and in Russia and China.

– The previous year was one of the most difficult ones since Delta’s founding. We realized an income of EUR 511 million and recorded a drop by 2% compared to 2019. Also, 2020 EBITDA amounts to EUR 46.5 million, which is a growth of 7.5%. We also had over EUR 60 million in investments, and EUR 100 million was paid to the budget – Vojvodic said.

The agrarian sector

Dejan Jeremic, a senior vice president at Delta, announced investments of EUR 24.3 million in the agrarian sector in 2021, for new plantations and state-of-the-art technology.

– Delta Agrar’s income amounted to EUR 244.23 million, 7.9% more than in 2019, and we invested EUR 18.3 million – Jeremic said.



According to him, substantial investments in irrigation systems are planned as well.

– Due to the climate change, you can no longer rely on rain only, because, as we’ve seen, the summers and even the springs are becoming drier. The plan is for nearly 4,000 ha to be covered by irrigation systems by 2023 – Jeremic said.

He pointed out that all four factories, Yuhor, Danubius, fun&fit and Mioni, had realized an income of a total income of EUR 81.9 million, 6.6% more than in 2019.

Transport

The three transport companies, Delta DMD, Delta Auto and DTS, had an income of EUR 186.82 million, which is 6.7% less than in 2019. As positive examples in this field, Jeremic cited the extension of the agreement with Beiersdorf on distribution in Serbia and Montenegro and DTS launching charter flights to China.

Real estate

Delta Holding’s income in the real estate sector dropped by 44.6% to EUR 25.83 million in 2020. According to Zivorad Vasic, a senior vice president, the drop mostly pertains to the hotels, whereas the office buildings adapted fast.

He also announced the opening of the shopping mall Delta Planet Nis for April 22. More than EUR 70 million was invested in its construction.

The construction of Hotel Indigo in Belgrade center was completed in late 2020. The hotel will open in the second quarter of 2021.



Vasic announced that the new office building Delta House would open in May 2021.

– Delta House has a gross area of 22,000 m2. The new seat of Delta Holding will be located on 6,000 m2, whereas 5,000 m2 is meant for lease – Vasic said.

He also announced the beginning of the reconstruction of Sava Centar, and more about this can be found in a separate article.

Marija Desivojevic Cvetkovic also announced the beginning of investments in Delta Land, a project in Despota Stefana Street in Belgrade, and the hotel-business complex Delta Center, which, according to her, will increase Delta’s presence in New Belgrade.

– A whole new project for Delta Autokomanda is also being prepared. The plan is for this shopping mall to spread on 300,000 m2 and for EUR 300 million to be invested in it.

She also highlighted the complex that is being built in Sarajevo, in the city center, with a mixed residential-trade center purpose.

Listing on the stock exchange upon the completion of the court procedure

The president of Delta Holding, Miroslav Miskovic, said that Delta was ready to list on the stock exchange.

– We are ready to list on the stock exchange, but we postponed it due to the ongoing court procedure against me – Miskovic said.

Ivana Milovanovic

Delta Holding d.o.o. Beograd

Delta Automoto d.o.o. Novi Beograd

Delta DMD Beograd

YUHOR AD

Danubius a.d. Novi Sad

Mioni d.o.o. Beograd

The Fun and Fit Company doo

Delta Transportni Sistem doo Beograd

Miroslav Mišković

Živorad Vasić

Marija Desivijević Cvetković

Dejan Jeremić

Milka Vojvodić

Delta Land

Delta Centar

Delta Autokomada

Ananas

Indigo hotel

Amazon

AliExpress

online trade

online commerce

investments

reconstruction of Sava centar