The company will finance the projects with proceeds from its NIS 150 million IPO.
Sources inform ''Globes'' that Shafir Civil & Marine Engineering Ltd. has entered the residential construction market in Eastern Europe, where the company is already building infrastructure projects. The company plans to finance the housing projects with proceeds from its NIS 150 million IPO.
Shafir Engineering is building an infrastructure project in Romania worth hundreds of millions of shekels. The company took the strategic decision to expand its business in Europe and to begin building residential projects, with the first projects in Romania and Serbia.
In Romania, the company bought land in two Bucharest suburbs. The company will build 1,800-2,000 apartment in the first project, and it expects a profit of €37.5 million. It estimates the investment in the second project at €56 million, and the gross profit at €11.7 million. In Serbia, the company will build a 400-unit luxury residential project together with a local company.
Published by Globes [online], Israel business news - www.globes.co.il - on May 20, 2007
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