Electromontaj, the largest high-voltage electrical network constructor in Romania, has become the majority shareholder of insurer ABC Asigurări after acquiring the stake held by Hidroconstrucția, a company currently in insolvency. 

ABC Insurance is a general insurance company with 100% Romanian capital, present on the local market for over 25 years. In 2024, the company aimed to underwrite insurance premiums totaling RON 86 million (EUR 17.3 million) and achieve a gross profit of RON 5 million (EUR 1 million). 

The transaction, which is pending final approval from Romania’s financial watchdog ASF, will give Electromontaj a 56.5% share in the insurance company. The other shareholders of the insurer are Blue Capital – 19.31%, Iridex Group – 11.47%, individual shareholders – 9.97%, and other legal entity shareholders – 2.74%.

“This transition confirms Electromontaj’s confidence in a solid and sustainable project, with clear long-term growth and stability objectives,” ABC Insurance CEO Ciprian Osiac told Profit.ro. 

Electromontaj, which had a turnover of RON 754.66 million (EUR 150 million), has as its majority shareholder Grup EM. The company operates other entities like Emfor, Iproeb, Electrotehnica SA, Hidroconstrucția, ELM Branch Bucharest, and Pro ELM Electrice. Earlier this year, Electromontaj signed a 10-year partnership with TenneT BV, the electricity transmission operator in the Netherlands as part of a large project.

On a consolidated level, the companies controlled by Grup EM recorded a turnover of RON 1 billion (EUR 201 million) last year, up from RON 877.6 million (EUR 176.6 million) in 2023. 

radu@romania-insider.com

(Photo source: Electromontaj on Facebook)