The biggest publishing company in Romania, Litera—which was established in 1989 in Chișinău under the initiative of Moldovan businessman Anatol Vidrascu—has declared its intention to acquire Elefant.ro from the bankrupt online store Elefant Online. The plan is to transform this digital marketplace into an advanced online hub focused on book sales as well as toy, stationary, and school supply retailing.
Prior to declaring bankruptcy in 2024, Elefant was the second-biggest market platform in Romania.
In 2021, Litera Publishing House saw its highest level of activity, achieving a turnover of RON 92 million and securing a net profit of RON 10 million. By 2023, their revenue had decreased to RON 78 million; however, they maintained a robust profit at RON 7.5 million.
Elefant.ro aims to evolve into more than just an online bookstore; it will transform into an intelligent digital ecosystem centered around innovation and connectivity, according to Litera.
"Romania has one of the lowest reading rates in Europe, and easy access to books is essential for the development of the market. The integration of Elefant.ro allows us to capitalize on the synergies between the companies and create an efficient, customer-oriented digital ecosystem. We are investing in technology, optimizing logistics processes, and expanding the offer in order to best meet the demands of modern consumers," announced the publishing house's co-founders, Dan and Marin Vidrașcu.
BDO Business Restructuring, a company renowned for its expertise in business audits and financial restructuring, facilitated the deal.
In 2010, Elefant Online was established as an online bookstore by ex-Moldovan Prime Minister Ion Sturza. It later evolved into a marketplace between 2014 and 2016. As of 2023—the most recent figures available—its revenue dropped to RON 94 million (approximately EUR 20 million), with losses totaling RON 20 million. According to insolvency specialists, this decline can be attributed to customers reverting back to shopping in brick-and-mortar outlets following the lifting of pandemic-related restrictions. Economedia.ro .
In 2023, following a doubling of Elefant Online’s losses in 2022, Sturza agreed to sell his 59% share to evoMAG—an independent online store founded by Mihai Patrascu. Back then, investment firms Axxess Capital and Catalyst Romania owned 28% and 9.6% stakes in Elefant Online, correspondingly.
Nevertheless, the agreement fell through when Elefant’s losses worsened in 2023. Ultimately, Sturza's online business went into insolvency in 2024, with Litera being one of its creditors. The principal creditors included Patria Bank (owned by Elefant's stakeholder Axxess Capital, amounting to RON 20 million) and evoMAG (with RON 11 million). The aggregate value of all claims was approximately RON 46.5 million.
iulian@romania-insider.com
(Photo source: Elefant.ro)
Post a Comment