Salford Capital Partners - ProMoney

XXXIntervju / Interview22

SALFORD CAPITAL PARTNERSSlobodan Petrovi}generalni direktor predstavni{tvau BeograduSalfordmenad`irainvesticije od195 milionadolarana BalkanuSalford kupljene firme u petogodi{njemciklusu restrukturira, oporavlja i o~ekujepove}anje njihove vrednostiRizik u Srbiji daleko manji od procenazapadnih zemaljaSalford Capital Partners Inc je fond menad`ment kompanijakojaje u Srbiji napravila pravi mali investicionibum. Ova kompanija je za kratko vreme u~estvovala ukupovini devet preduze}a, i tim putem plasirala oko 195miliona dolara kapitala. Sada kompanije aktivno oporavlja itim putem im podi`e vrednost, a kada za dve-tri godine onepostanu stabilne i profitabilne, Salford }e ih prodati iulo`eni rizik kapitala i rad naplatiti kroz razliku u ceni.Koliko ste ulo`ili u preduze}a koja ste kupili?- Od 2003. godine ulo`ili smo 195 miliona dolaragotovog novca u osam srpskih firmi i jednu u regionu.Najve}i deo tih sredstava oti{ao je direktno u kompanije,a deo novca koji je Salford plasirao potro{en je za kupovinuakcija od malih akcionara. U Srbiji smo kupili petmlekara (Imlek, Novosadska mlekara, Mlekara Subotica,Impaz i Zemun), dve konditorske fabrike (Bambi i Banat)i jednu fabriku vode (Knjaz Milo{). Nedavno je kupljenajo{ jedna mlekara u Banja Luci. U su{tini, za Salford 2003.i 2004. su bile godine akvizicija, 2005. godina je godinarestrukturiranja, a 2006. i 2007. godina treba da budugodine rasta.Ovo je vrlo zna~ajan novac koji je u{ao u Srbiju krozdirektne privatne investicije i u ovoj oblasti Salford jenajve}i fond menad`er u Srbiji. Ne samo da smo najve}i poplasmanu ulo`enih sredstava, nego smo i jedan od retkihzastupnika fondova koji su do{li u Srbiju da ula`u novacdirektno u kompanije, a zatim ta preduze}a reorganizujemoi restrukturiraju. Sada ve} u Srbiji postoje i portfolio fondovi,koji kupuju akcije na berzi. Ali, osim nas i jo{ jednogfonda, ne postoje oni koji su do{li da ula`u sredstva naovakav na~in, da aktivno pomognu kompanijama da stanuna noge i po~nu dobro da rade.Slobodan Petrovic,General Director of the BelgradeRepresentative OfficeSalfordManages195 MillionUSDInvested theBalkansOver a five-year cycle, Salford restructuresand rehabilitates the acquired companies, witha goal of increasingtheir value. Risk in Serbiais far lower than assessed by developedcountriesSalford Capital Partners Inc. is a fund management companywhich has been behind a real investment boom inSerbia. Over a short period of time, this fund manager hasacquired nine companies and, invested around 195 million USdollars worth of capital. It is now actively restructuring the companiesin order to raise their value. Once these companiesbecome stable and profitable, expected in two to three yearstime, Salford will exit these investments and compensated forits invested capital risk and work through difference in price.How much have you invested in the companies you haveacquired?- Since 2003, we have invested 195 million US dollars worthof capital into eight Serbian companies and one in the region.The largest part of these funds was allocated directly into thecompanies, while a portion of funds was used to purchase sharesfrom the small shareholders. We have bought in Serbia five dairycompanies (Imlek, Novosadska Mlekara, Mlekara Subotica,Impaz and Zemun), two confectionery producers (Bambi andBanat) and one water company (Knjaz Milos). Recently, anotherdairy factory in Banja Luka was purchased. In essence, 2003 and2004 were the years of acquisitions for Salford, 2005 is the yearof restructuring, while 2006 and 2007 will be the years of growth.This is a substantial amount of capital invested into Serbiathrough private equity investments, sphere in which Salford isthe top fund manager in Serbia. Not only are we the biggestaccording to the size of invested funds, but we are also amongthe rare private equity fund managers whose aim is to reorganizeand restructure the purchased companies. Portfolio funds arenow active in Serbia, and are purchasing shares on the stockexchange. However, apart from us and one other fund, no oneelse has come to invest money directly into companies, and toactively assist them to stand on their feet and start working well.Intervju / Interview23

SALFORD CAPITAL PARTNERSIntervju / InterviewZa{to ste u Srbiji izabrali oblast hrane i pi}a za ulaganje?- Procena je bila da je Srbija prete`no agrarna zemlja,koja se u velikoj meri oslanja na poljoprivredu. Procenilismo da Srbija u tim oblastima ima potencijala, da ima dobrusirovinsku bazu i da ona treba da bude odsko~na daska zaceo region, gde nameravamo da {irimo svoje aktivnosti naisti na~in.Mi aktivno gledamo i region, ve} smo kupili jednumlekaru u Banja Luci, razmatramo investicije u mlekare uHrvatskoj iMakedoniji, analiziramo tr`i{ta mineralnih voda uMakedoniji i Bosni.Za{to ste kupili preduze}a koja su bila u problemima?- Salfordova strategija je kao {to je ve} pomenuto da zara~un fondova koje zastupa kupuje preduze}a, da ihrestrukturira, oporavi i u~ini profitabilnim, i da iza|e iz tihprojekata u onom trenutku kada kompaniji vi{e nije potreban,zato {to su one postale stabilne i jake.To je poslovna filozofija, vizija i strategija i mi smo setoga dr`ali u Srbiji i indentifikovali kompanije koje imajuveliki potencijal, ali su im potrebna finansijska sredstva,aktivna podr{ka menad`mentu i ja~anje zna~ajnih funkcijau okviru kompanije.U me|uvremenu se o~ekuje i da }e doma}e ekonomijeoja~ati ~ime }e se smanjiti rizik investicija, ali }e se i stoperasta umanjiti i pribli`iti stopama koje su uobi~ajene urazvijenijim zemljama.Ve}i rizik - ve}i povra}ajSalford je fond menad`ment kompanija koja se baviplasiranjem i upravljanjem direktnim investicijamame|unarodnih investicionih fondova.Strategija i vizija Salforda je da prvenstveno plasira investicijeu zemljama u tranziciji gde su rizici dosta ve}i, ali uzdobro poznavanje lokalnih prilika, ti rizici mogu znatno dase umanje i o~ekivani povra}aj na investicije uve}a. Zasada je Salford investirao u biv{im sovjetskim republikama,kao {to su Gruzija i Ukrajina, u Rusiji i na Balkanu.Na Balkanu je odabrana Srbija, jedna od poslednjihzemalja jugoisto~ne Evrope koja je u{la u tranziciju.Strategija za investicije u Srbiji je prera|iva~ka industrijahrane i pi}a, sa krajnjim ciljem da se napravi jedan regionalniholding u ovoj oblasti poslovanja.Ovim putem }e se stvoriti jake i internacionalno prepoznatljivekompanije koje }e mo}i uspe{no da se takmi~e naregionalnom tr`i{tu.Kakva je dalja poslovna strategija Salforda za ova preduze}ai koju ulogu on ima u upravljanju?- Ove godine planiramo da objedinimo proizvo|a~e mlekau jedno preduze}e i da konditori tako|e postanu jednakompanija. Zajedno sa kompanijom za proizvodnju mineralnevode to }e postati jedan holding, koji prema planu trebada ima oko 400 miliona dolara prihoda u 2005. godini.Na{ zadatak je da popravimo brend i korporativni imid`tih firmi, da oja~amo prodaju i marketing, kao i da finansijeorganizujemo na zapadni na~in. U proizvodne kapaciteteuglavnom ne mora zna~ajno da se ula`e, jer su postoje}iproizvodni procesi i oprema uglavnom zadovoljavaju}i idobro funkcioni{u.Why have you chosen to invest into food and beverageindustry in Serbia?- Our assessment was that Serbia was predominantly anagrarian country, largely relying on this industry. We estimatedthat Serbia had a potential in this area, due to good raw materialbase and that the country should be a springboard for theentire region, where we intend to spread our activities in thesame manner.We are actively monitoring the region as well, we have purchaseda dairy company in Banja Luka, we are consideringinvestments in dairy companies in Croatia and Macedonia, andare analyzing the mineral water markets in Macedonia and Bosnia.Higher Risk - Higher ReturnSalford is a fund management company engaged in theplacement and management of private equity investmentson behalf of international funds. Salford's strategy and visionis primarily to allocate investments in transitional economieswhere the risks are much higher, but with a good knowledgeof local conditiond, these risks can be considerably reducedand the expected return on investment increased. So far,Salford has invested in former Soviet Republics, such asGeorgia and Ukraine, in Russia and in the Balkans. Thecountry chosen in the Balkans was Serbia, one of the lastcountries of South Eastern Europe to embark upon transition.The strategy for investments in Serbia focuses on theprocessing food and beverage industry, with the ultimategoal of creating a regional holding company in this industry.This will lead to the creation of strong and internationally recognizablecompanies which will be able successfully to competein the regional market.Why have you acquired companies with problems?- Salford's strategy, as already mentioned, is to purchase companiesfor the account of the funds it represents, to restructurethem, rehabilitate and make them profitable. Then to withdrawfrom these projects at the moment when it is no longer neededwithin the companies due to the fact that they have become stableand strong. This is the business philosophy, vision and strategyand we abided by it in Serbia. We identified the companieswith a large potential, but in a need of financial resources, activemanagement support and the strengthening of important internalfunctions.Also, we expect that the domestic economies will strengthenwhich will reduce the risk of investments, but the growth rateswill also be reduced and converge to the usual rates in developedcountries.What is Salford's further business strategy for these companiesand its role in the management?- This year we are planning to integrate milk producers intoone company as well as-merge confectionery producers.Together with the company producing mineral water, thesecompanies will form a holding, which is expected to have anincome of around 400 million US dollars in 2005.Our task is to improve the brand and corporative image ofthese companies, to intensify sales and marketing efforts, and toorganize finances in the western manner. There is mostly noneed for any major investments in the production capacities,since the existing production processes and equipment are usuallysatisfactory and are functioning well.24

SALFORD CAPITAL PARTNERSZa{to ste ve}inom radili dokapitalizacije, a ne neki drugioblik preuzimanja?- [est preduze}a smo inicijalno kupili kroz dokapitalizacijujer je kompanijama bila potrebna finansijska injekcija.Iz istih razloga se planira i unos sve`eg kapitala i uKnjaz Milo{ gde je “preuzimanje” obavljeno kroz otkupakcija u okviru javne ponude. Kompanije su zbog finansijskihsankcija, koje su trajale mnogo du`e nego sankcije narobama, ostale bez obrtnog kapitala. Svim na{im kompanijamaje bio potreban gotov, raspolo`ivi novac kao obrtnikapital, zatim novac za investicije i iz tih razloga smo radilidokapitalizacije. Time {to smo uneli sve` kapital u ta preduze}a,omogu}ili smo da se u njima pokrene proizvodnja ioja~a njihova sirovinska baza i te kompanije se dalje polakorazvijaju. Ali, ve} ove godine, kompanije za sve te potrebepo~inju da ula`u iz sopstvenog cash flow-a, koji se sadageneri{e iz normalnog biznisaDa li su preduze}a koja ste kupili po~ela da posluju profitabilno?- Pro{le godine su nam sva preduze}a bila profitabilna,osim fabrike vode "Knjaz Milo{" u koju smo tek u{li i kojaje pro{le godine imala skoro pet miliona evra gubitka. Profitkoji su imale na{e ostale kompanije ostao je ve}inom unjima jer nije preraspore|en ve}inskim vlasnicima. Una~elu, Salford retko vra}a ulo`ena sredstava kroz dividendu,ve} profite ostavlja u kompaniji kako bi se kompanije{to br`e oporavile.Posle velikog iskustva koje imate u Srbiji, koja je va{aporuka stranim investitorima?- Smatramo da Srbija nije ni izbliza onako riskantna kao{to strani investitori procenjuju. Treba ovde do}i i provestineko vreme i shvatiti da su rizici daleko manji. Salford je toshvatio na vreme, do{ao je, investirao i mi zaista smatramoda se ovde mo`e raditi. Svakom bismo preporu~ili da do|ei da radi, jer su povra}aji jo{ uvek daleko, daleko ve}i negona drugom mestu.Nemamo probleme u kompanijama, nemamo {trajkove,imamo dobru saradnju sa zaposlenima i menad`mentom,sve to funkcioni{e na jedan zadovoljavaju}i na~in. Mislim daje dobra stvar i jedna dobra poruka svima da ono {toobe}amo, zaista i uradimo i zaposleni onda to lako prihvate.To ne mora uvek da bude idealno i nije idealno, jer tu imai pote{ko}a, ali kroz zajedni~ke napore svi se problemi prevazi|u.Kako procenjujete privrednu situaciju i ambijent u Srbijii da li je Srbija dovoljno atraktivna za ulaganja?- Ja imam pozitivno mi{ljenje, ali to ne zna~i da u Srbijinema problema. Pojedini zakoni su doneti nedovoljnopromi{ljeno, dosta zakona jo{ fali, tako da u tom pogledusituacija nije ba{ idealna. Politi~ki rizik, izme|u ostalog, jejo{ jedan faktor koji uti~e na investitore.Investitori pri`eljkuju pove}anu politi~ku stabilnost, akada se ona i ostvari investiciona klima }e biti pobolj{ana.Why have you mostly opted for recapitalization, instead ofsome other form of takeover?- We have purchased six companies through recapitalization,as these companies required a financial injection. For the samereason, we are planning to place fresh capital into Knjaz Milosas well, where the takeover was initially carried out through thepurchase of shares during public bid process. Due to the financialsanctions, which lasted much longer than the trade sanctions,companies have been left without operating capital. Allour companies needed readily available cash for operating capital,as well as money for investments, and this is the reason whywe opted for recapitalizations. We brought fresh capital intothese companies, and made it possible for them to launch production,to strengthen their raw material base and through thisreactivate gradual development.However, already this year, the companies are starting tomeet all these needs out of their own cash flow, which is nowbeing generated from normal business operations.Have the companies you acquired started to be profitable?- All our companies were profitable last year, except KnjazMilos, mineral water producer which we have just entered intoand which had almost five million euros worth of losses last year.The profit generated by our other companies remained mostlywithin them, as it was not distributed to the majority owner. Inprinciple, Salford rarely returns the invested funds through dividends,but rather opts for leaving the profits in the companiesso that they could recover as fast as possible.Given your large experience in Serbia, what is your messageto foreign investors?- We believe that Serbia is not as risky as foreign investorsassess it. It is necessary to come here, spend some time andthrough that undersant that the risks are much smaller. Salfordrealized this in time, came here, invested and we really dobelieve that it is possible to do business. We would adviseeveryone to come and work here, because the returns are stillmuch higher than in other places.We have no problems within the companies, no strikes, wehave good cooperation with the employees and management,and everything is functioning in a satisfactory manner. I believethat our good principle is that whatever we promise we fulfill,and it is easier for employees to accept the changes. This is notalways ideal, because difficulties also exist, but all problems canbe overcome through joint efforts.How do you assess the economic situation and environmentin Serbia and is the country ufficiently attractive for investments?- I have a positive opinion, but this does not mean that theproblems are not existant in Serbia. Some of the laws that wereadopted were not sufficiently thought out, many laws are stilllacking, so that the situation in this regard is not absolutely ideal.The political risk is also one of the factors that has an affect oninvestors. Investors are hoping for greater political stability, andwhen this is achieved, the investment climate will improve.Intervju / InterviewSalford Capital PartnersRep. Office BelgradeKneginje Zorke 9611000, Belgrade, SerbiaPhone/Fax: +381 11 344 29 22+381 11 344 29 23Nortfolk House31 St. James , s SquareLondon SW1Y 4JJ, UKPhone: +44 (0) 20 7004 7900Fax: +44 (0) 20 7004 791025