Areas of Investments
Real estate and land
Prices of real estate in Bulgaria, right across the board (agricultural land, land with planning, residential, industrial and commercial developments) are at comparative and historic lows irrespective of whichever valuation model is chosen. This situation if anything has been greatly exacerbated by the recent banking crisis where the market has marked down asset prices indiscriminately across Europe. Also due to the banking crisis there exists opportunities probably for the next 12 months to obtain quality developments from distressed developers.
Due to a favourable climate and natural terrain Bulgaria enjoys long term excellent tourism potential. Areas of particular interest include ski and spa resorts in and around the capital, Sofia.
The Directors have identified the outsourcing of healthcare as offering steady long term growth particularly as the effects of an ageing population in Western Europe is now making its presence felt and is a major issue for all political parties.
There are excellent opportunities for infrastructure projects as Bulgaria makes its transition from an emerging economy to a full market economy.
The young and burgeoning energy sector offers several interesting opportunities, particularly in the renewables sector.
This is a huge growth industry fuelled by the world's largest energy companies needing
to improve their corporate governance profile. Bulgaria is extremely well placed to meet
this demand offering ideal and cheap locations for wind farms and waste-to-energy
solutions in particular.
The Fund will be looking to invest in the giants of tomorrow and believe that with good
local knowledge and contacts and comprehensive due diligence it will be possible to
find excellent opportunities.