BUCHAREST | March 30, 2020 – QUALITANCE, the international innovation, tech, and Artificial Intelligence company founded and headquartered in Romania, is trading its corporate bonds on the Multilateral Trading System of the Bucharest Stock Exchange (BVB), under the trading symbol Q22E, starting March 31st.
The current trading follows the early completion of the private placement through which the company attracted EUR 1.5 million in financing (representing its target amount) – an offer which was exceeded from the first day, with an overwriting of nearly 60%, compared to the final assigned value. The high interest taken by investors – 58 natural persons and 1 legal person – in the December issue confirms and supports the company’s accelerated growth strategy.
“We’ve concluded the first quarter in full gear, after highly prioritizing our investments in the development of our current organization, especially of our newly created international structure. The latter already brought us the first business results by signing valuable contracts with Fortune 500 companies such as News Corp, Ford and Johnson & Johnson, which in 2019 amounted to 20% of our turnover. We will continue our accelerated growth strategy by increasing our team, enhancing our know-how, developing our own technology platforms, and consolidating our global presence through new entities or acquisitions. In 2020, we’re focused on enriching our portfolio with new clients, especially from the financial, oil & gas, and energy sectors. At the same time, we’re keen on leveraging the business model that best defines us – Business 5.0, enabling us to build and scale digital businesses, while relying on the high-speed development of digital solutions, innovation strategies, product design, execution playbooks, user experience, and marketing. However, with these difficult times at human, social and economic levels, we’re keen on supporting a series of initiatives benefiting our community as well as on providing our clients and partners with stability and rapid problem-solving digital solutions,” stated Radu Constantinescu, QUALITANCE Co-founder & Managing Partner.
In December 2019, QUALITANCE issued a euro-denominated private placement corporate bond offering, with a 3-year maturity and a 5% coupon rate that is payable half-yearly and can be redeemed at an earlier date. The offer, which was exclusively intermediated by Tradeville – a market leader in online trading on the stock exchange, was a premiere in the private placement of corporate bonds in Romania. It was the first offer traded by the Bucharest Stock Exchange system in the “Dutch auction” style, aiming to determine the optimum coupon rate. The interest rate was set by auction to adjust the interests of both the investor and the issuer in the best way possible.
“The financing round carried out by QUALITANCE through the bond issue brings us great satisfaction, in many ways. Firstly, because it proves once again that the capital market stands as a reliable mechanism for financing companies with a potential for solid growth. Secondly, because the issuer is a Romanian software developer. Last but not least, because QUALITANCE is one of the winning companies of the Made in Romania program – an initiative launched by BVB to promote and support the development of Romanian entrepreneurial companies. We are convinced that the example set by QUALITANCE and by other IT companies listed on the AeRO market will be followed by more tech companies looking for financing for development,” added Radu Hanga, Chairman of the Board of Directors of BVB.
“The successful placement of Q22E was a very nice to end 2019, as 1 out of 3 private placements made in Romania was brokered by Tradeville. Not only did we work with an extraordinary company and a wonderful team, but we also completed the placement within a very short time in terms of contract signing and we introduced an innovation to the market, namely the tender offer for corporate bonds. Even though we are all going through difficult times right now, dealing with a significant emotional load, I hope that this success will inspire us all as soon as we are able return to a normal life,” pointed out Ovidiu-George Dumitrescu, Deputy General Manager & Coordinator of Tradeville’s Corporate Finance Division.
In 2018, the Bucharest Stock Exchange presented QUALITANCE with the Made in Romania Award for being one of the companies that would contribute to the growth of the national economy. Between 2016-2018, the company increased its turnover at a 35% year-over-year rate. In 2019, the company strengthened its business and registered a EUR 11 million turnover, while continuing to consolidate its Sydney office and expand its international presence through new subsidiaries in New York and London.
QUALITANCE is an international technology and innovation company that creates digital products and businesses for global organizations and startups. QUALITANCE uses experience design, rapid prototyping and emerging technologies such as AI and Machine Learning to create innovative digital products and services and help large organizations step in the hyper-scalable 21st-century digital economy.
QUALITANCE has been recognized by the Financial Times 1000, Deloitte Technology Fast 50 Central Europe and Inc.5000 Europe as one of the fastest-growing technology companies. In 2017, QUALITANCE was awarded Company of the Year by the Employers Association of the Software and Services Industry (ANIS). In 2018, the Bucharest Stock Exchange presented QUALITANCE with the Made in Romania Award for being one of the companies that will contribute to the growth of the national economy.
About Bucharest Stock Exchange (BVB)
The Bucharest Stock Exchange (BVB) bridges companies looking for opportunities to finance their growth plans and the investors who are putting the necessary capital at their disposal. BVB provides mature companies, start-ups and SMEs with a financing mechanism that compliments the banking mechanism. In 2019 alone, BVB listed share and bond issues amounting to over EUR 1 billion, with financing rounds varying from thousands of euros to tens and even hundreds of million of euros.
The Made in Romania program is BVB’s way of helping Romanian entrepreneurs prepare to attract investments. Any company in Romania with ambitious growth and development plans should consider trading on BVB as a means of improving its profile. BVB is a company listed on its on market since 2010.
About S.S.I.F. Tradeville
Tradeville, a distinguished broker with 25 years of experience on the Romanian capital market, offers retail customers easy and fast access to the Romanian Stock Exchange and major international exchanges, through state-of-the-art trading applications across computers, tablets, and smartphones. Tradeville was presented with the “Most Active Retail Broker in 2018” Award by the Bucharest Stock Exchange.