Zemun-based Silbo takes over Paracinka

The trade company Silbo from Zemun has become the new owner of the confectionery factory Paracinka from Paracin.

This company has purchased a 31.38-percent stake in aforementioned factory from the Share Fund, 25 percent of shares from former majority owner Edward Nicholson, and the shares of minor shareholders, which is a total of 80% of shares, President of the factory trade union Slavoljub Najdanovic confirmed for Tanjug news agency on Tuesday (September 6, 2011).

As he explained, the conditions are now also met for Silbo's acquisition of a 13.45-percent public stake in Paracinka.

- The arrival of a new owner is a salvation for Paracinka because it would be hard for that factory to survive by itself. Once Silbo acquires all 100 percent of Paracinka's shares, which I believe will happen soon, it will also be entitled to Paracinka's 33.5-percent stake in Cokolend - Najdanovic explained.

Expressing a belief that the owner would then also take over Cokolend, he assessed it would be a "great move to unite the former production."

Najdanovic added he expected the new owner to offer a social programme for 100 redundant workers at the factory and pay three late salaries.

He reminded that Paracinka's confectioneries were in high demand in the market of Serbia, as well as in the market of the western Balkans, and added that the procurement of new machines was a condition to increase both production and sales.

Silbo, which is registered to operate in the fields of external and internal trade, generated a business revenue of RSD 2.6 billion last year, while its net profit was close to RSD 72 million, Sinteza Invest Group announced.

Silbo is known to investment public since March when it sold the Kragujevac-based dairy Mladost to the German company Meggle. The value of that transaction has not been revealed to date.