In the first five days with a discount of 16%, the IPO of JT Grup Oil, the developer of the most modern private terminal for liquid petroleum products on the Black Sea, collected subscriptions worth 23 million lei from investors
With annual consolidated revenues of 224 million lei and a net profit of almost 5.8 million lei in 2023, JT Grup Oil, one of the most important private companies on the fuel distribution market and the sole shareholder of JT Terminal, the only and the newest private terminal for petroleum products in the port of Constanța, has collected subscriptions worth 23 million lei, during the first five discount days of the Offer Period.
The market operation started on May 28 and will end on June 10, the company will be listed on the AeRO Market of the Bucharest Stock Exchange. In the first five days after the opening, investors launched purchase orders for 3,556,000 JT Grup Oil shares. Starting today, June 4, investors will subscribe to the shares at the offer price of 6.50 lei/share.
Thanks to the facilities available at the terminal, JT Grup Oil SA has excellent prospects for business development through strategic partnerships with the most important companies in the industry at European level, which have already expressed their intentions in this direction. Thus, according to prospectus approved by ASF, and as a result of the development of the newest multi-modal terminal, JT Grup Oil estimates for the next year, a doubling of turnover, from approximately 333 million lei estimated turnover for the end of 2024, to approximately 663 million in 2025.
"The BSE listing is an opportunity for us to be part of a success story, and for investors it represents a favorable moment to buy shares in a company with an impeccable reputation and significant growth prospects. JT Grup Oil SA established itself as a reliable player in the energy industry, constantly innovating and quickly adapting to market changes. According to our forecasts, the future earnings will be higher than the investments, and once the terminal is operational, along with the reduction of expenses due to its full automation, we expect profitability to grow exponentially in the period 2025-2028.", declares Bogdan Aldea, President of the Board of Directors and General Manager of JT Grup Oil SA
With an ambitious business plan and thanks to the development of JT Terminal, the Group aims to open new outlets for the B2B sector and, implicitly, to increase the volumes of fuel traded on the local market. The investment in JT Terminal provides all the necessary infrastructure to fulfill the proposed objectives, from increasing operational efficiency, reducing costs and reducing waiting times, to improving the services offered to the company's partners and customers. The amount of money obtained from the funding raised through the initial public offering will remain with the company and will be used to expand storage and distribution capacities, as well as to implement new facilities in the north and west of the country.
Once completed, the terminal will have 8 tanks with a total storage capacity of 31,500 tonnes and will handle barges of up to 9,000 tonnes, 16 wagons at the same time, on two parallel railway lines, and 20 tanks at the same time in the loading and unloading area. Once fully operational, thanks to the storage capacities, JT Terminal will be able to supply approximately 1 million tons per year of the fuel shortage from the Romanian market, currently estimated at 2.5 million tons per year. Also, the distribution capacity, of 400,000 liters/day, will ensure the permanent rotation of stocks, without allowing the accumulation of a large amount of fuels, thus reducing the financial risk. In addition, the development of the car fleet and the increase in the number of precinct stations, from 250 to approximately 500 stations, will contribute to the increase of the traded volumes and implicitly to the increase of the market share.
"Since the first day of the IPO launch, we have been delighted with the positive response from investors. The massive subscription of shares in the first five days confirms the trust that investors place in our business. With the support of reliable partners and the help of our team of professionals, we are sure that we will continue to achieve the desired success and achieve all the goals set in the medium and long term. JT Terminal eis a strategic project that will grow in the following and that will generate a multiplication of the turnover to approximately 3 billion lei, in the next 10 years. All our estimates, based on figures and market analysis, indicates an ever-increasing demand for fuel distribution and storage services. Given current trends and economic projections, we anticipate significant expansion of our network and improved operational efficiency.”, adds Steluța Lebidov, CFO of JT Grup Oil
JT Terminal is a private investment of 25 million euros, validated including by the Romanian state through the non-refundable funds assigned through the Management Authority for the Large Infrastructure Operational Program, within the Ministry of Investments and European Projects.
In addition to the development of its own terminal, JT Grup Oil ensures the efficient and safe supply of fuels, by implementing the premises stations, equipped with modern monitoring and control technologies, which allow an efficient management of stocks and operations, being designed and built in accordance with the highest quality and safety standards. In addition, out of a desire to integrate renewable energy sources and promote sustainable practices in the energy industry, JT Grup Oil will install photovoltaic panels on self-service fuel stations.
Through the dividend policy, the Group aims at a balanced distribution of the net result according to the expectations of the shareholders, as well as the development needs of the company. The allocation of shares will be done in order of subscriptions. Intermediaries through which shares can be subscribed within The initial public offer for the sale of the shares of the issuer JT GRUP OIL are: PRIME TRANSACTION SA, BRD-GSG SA, IFB FINWEST SA, SWISS CAPITAL SA, BANCA COMERCIALA ROMANA SA, BRK FINANCIAL GRUP SA, ESTINVEST SA, MUNTENIA GLOBAL INVEST SA, INTERFINBROK CORPORATION SA, TRADEVILLE SA, BT CAPITAL PARTNERS SA, INVESTIMENTAL SA, GOLDRING SA, ALPHA BANK ROMANIA SA, INTERDEALER CAPITAL INVEST SA.
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About JT Terminal
JT Terminal, the newest and most modern private terminal for liquid petroleum products built in Romania for the past 50 years, which will operate specific products such as diesel, biodiesel and bitumen with the ultimate goal of distributing them to the domestic and foreign fuel markets. Once completed, the terminal will put large volumes of fuels on the market for which there is already demand and, implicitly, it will contribute to the development and increase of the market share of JT Grup Oil SA by increasing the traded volumes.
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About JT Grup Oil SA
Currently, JT Grup Oil SA carries out fuel distribution operations in the South-East of Romania with the help of its own fleet of 11 tanks with a capacity of up to 40,000 liters, equipped with pumps and indicators for measuring the delivered quantity. For fuel distribution in the northern part of the country, the company has partnerships with representatives of the business environment, long-term collaborators.
In the last ten years, the company's profit was 51 million lei, reflecting a solid and sustainable financial performance. Also and the turnover of the last five years has registered a constant increase from 171 million lei in 2019 to 224 million lei in 2023, which demonstrates the company's ability to adapt to market demands, innovate and optimize its operations to drive continued growth and long-term success.
Founded in 2001, JT Grup Oil SA is one of the most important companies active in the fuel distribution market and the developer of the first private terminal for petroleum products in Romania in the port of Constanța. In 2004-2005, he built a bitumen terminal in Medgidia, which he sold shortly after receiving it, and the money obtained from the sale was invested in the development of the fuel distribution network. In 2008, the company began to develop the distribution network and introduced to the market more than 250 tanks equipped with pumps and level indicators. From 2023, JT Grup Oil SA diversified its range of products, and entered the segment of duty-free diesel fuel, which serves commercial vessels for the ports of Midia and Constanța.
