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Bulgarian rose living a new springtime

Bulgarian Rose – Sevtopolis AD is named after two things our country is proud of – its natural richness of oil roses and its history – Sevtopolis is the name of an ancient Thracian city. Sadly, its modern history started as a victim of the transition chaos in the nineties.

  • The company changed owners several times after its privatization in 1997, until in 2004 it became part of Sopharma Group
  • After the first three “successful” privatizations the company could be pictured in short with the following facts and figures:
    • 11 million BGN losses;
    • 8,8 million BGN bonds issued;
    • Over 2 million BGN payables to suppliers;
    • Payables to the National Health Insurance Fund;
    • Unpaid taxes … etc.

In the first 3 years with Sopharma it underwent a massive makeover:

Capital investments

  • New modern facility for secondary packaging and a new warehouse for raw materials with total area of 880 sq. m.

  • New, cleaner and more efficient energy source for the steam production
  • New water cleaning system helps reuse water in the production cycle

  • State of the art” tablet filming machine provides 50% production capacity increase

  • New GMP certified facility for extracting the active ingredients from medicinal plants with 100 tons annual production capacity was finished this year

  •  Sopharma purchased more than 4 000 acres agricultural land in the region of Kazanlak to be planted with medicinal plants for the production needs for Sopharma and Bulgarian Rose – Sevtopolis
  • The production process will now be supplied regularly with hard to obtain raw materials on reasonable prices
  • Also, by undertaking this step Sopharma and Bulgarian Rose – Sevtopolis will provide work for more than 50 agricultural workers and will unfold and make use of the potential of a large area of deserted agricultural land.

  • A modern warehouse for storage of plant raw materials will be built
  • Additional machines for the tablet facility were be purchased – 720,000 BGN
  • Additional modern machines for the phytochemical facility will be purchased - 1.5 million BGN
  • The warehouse for finished goods will be rebuilt – 800,000 BGN
  • New laboratory equipment will be purchased – 400,000 BGN, etc.

SEVTO on BSE-Sofia AD

  • The shares of Bulgarian Rose Sevtopolis are traded on the official segment “B” on the BSE-Sofia ADThe company is included in the BG-40 index
  • For the three years with Sopharma the position of Bulgarian Rose – Sevtopolis on BSE – Sofia shows substantial improvement:
  • The shareholders physical persons increased from 768 in 2005 to 1200 today;
  • The shareholders legal persons increase from 16 in 2005 to 72 today;
  • The shareholder capital increased from 754,089 BGN in 2004 to 12,065,424 BGN in 2007 – and increase of 16 times.

“Bulgarian Rose” blossoms with Sopharma

Today the company is merged into Sopharma and is one of its production facilities.

  • With the management by Sopharma, Bulgarian Roze - Sevtopolis transformed from an almost bankrupt company to:

    • Company with 100% load of production capacities;
    • Company with secured markets;
    • Company with shareholder capital of 12 million BGN;
    • Company without debts;
    • Company with an aggressive investment program and market capitalization of over 35 million BGN;
    • Company with 2 times increase in sales income for the period 2004 – 2007 – sales reached 12 million BGN;
    • Company with 3 times increase in profit for the same period;
    • Company with 55 times increase in capital expenditures – 8 million BGN for the last year, etc.
    • Bulgarian Rose – Sevtopolis is only one example of Sopharma’s acquisition success.