BUSINESS PLAN

1. Executive Summary

“Ungheni Logistic Hub” is a strategic project aimed at developing an integrated logistics and industrial complex, located on a total area of 272 hectares in Ungheni, at the border with Romania and the European Union.

The project leverages its unique geographic position along the international corridor connecting Iași – Ungheni – Chișinău – Odesa, as well as direct access to dual railway infrastructure (European and CIS gauge).

Total estimated investment:

👉 €504 million

Estimated annual revenue:

👉 Minimum €5 million (initial phase) + additional energy income

Projected market capitalization:

👉 €1.256 billion

2. Strategic Locație

📍 Locație: Ungheni, Republic of Moldova
📍 Direct border access to Romania (EU)

Key advantages:

• Fast access to Iași (EU market)
• Strong connection to Chișinău
• Logistics corridor to Odesa
• Railway hub “BEREȘTI” (dual gauge: EU + CIS)
• 
• International road infrastructure access

3. Project Description

Total land area: 272 ha

Component 1 – Logistics & Industrial Park

• Area: 132 ha
• Facilities:
  • Class A warehouses
  • Industrial / production spaces
• Total built area: 1,000,000 m²

💰 Investment: €450 million

📈 Revenue streams:

• Minimum €5 million/year (rent & logistics services)
• OR sale of units at €1,000 – €1,300/m²

Component 2 – Renewable Energy Park

• Area: 140 ha
• Capacity:
  • Solar + wind: 120 MW
• Annual production:
  • 140,000 MWh/year

💰 Investment: €54 million

📈 Revenue:

• Electricity price: ~ 2.5 MDL/kWh
• Annual revenue potential:
  👉 ~ 350 million MDL/year (~€17–18 million)
• Optional:
  • Sale of capacity: €800,000 – €1,000,000 per MW

4. Competitive Advantages

✔ Strategic EU-border location
✔ Free economic / industrial zone potential
✔ Existing infrastructure (former military base)
✔ Dual railway system (EU + CIS)
✔ Lower operational costs vs EU markets
✔ Partial energy independence
✔ Strong scalability potential

5. Business Model

“Ungheni Logistic Hub” operates as an integrated logistics–industrial–energy ecosystem, generating multiple revenue streams:

A. Logistics & Industrial

• Lease of Class A warehouses (€ / m² / month)
• Lease of industrial production spaces
• Sale of units (€1,000 – €1,300 / m²)
• Logistics services:
  • Cross-docking
  • Long-term storage
  • Regional distribution
• Railway terminal operations (handling & transit fees)

B. Renewable Energy

• Electricity sales (PPA / spot market)
• Direct supply contracts with industrial tenants
• Sale of installed capacity (MW)
• Additional opportunities:
  • Green certificates
  • Energy export to EU (Romania)

C. Additional Revenue Streams

• Land lease for investors (build-to-suit projects)
• Auxiliary services:
  • Truck parking (TIR hub)
  • Maintenance & facility management
  • Fuel storage / terminal
• Strategic partnerships (joint ventures)

6. ROI (Return on Investment)

Total investment:

👉 €504 million

Estimated annual revenue:

ROI Scenarios

🔹 Conservative scenario:

• Annual revenue: ~€22 million
• ROI: 18–22 years

🔹 Optimized scenario (with asset sales):

• Faster capital recovery
• ROI: 5–8 years

🔹 Strategic investor / exit scenario:

• Project valuation: ~€1.256 billion
• Potential profit:
  👉 €700+ million

7. Key Investment Indicators

• IRR: 12% – 25%+
• Target occupancy rate: 70% – 90%
• Estimated rent:
  • €4 – €7 / m² (logistics)
• Logistics yield:
  • 8% – 12%

8. Development Strategy

Phase 1 (0–24 months)

• Infrastructure development
• Initial warehouses
• Launch of solar park
• Anchor tenants acquisition

Phase 2 (2–5 years)

• Industrial expansion
• Railway terminal development
• Energy contracts

Phase 3 (5+ years)

• Full-scale operation
• Exit / listing / institutional investment

9. Target Clients / Tenants

• International logistics companies
• Large retail chains (regional hubs)
• Industrial manufacturers
• EU–CIS distributors
• E-commerce companies

10. Economic Impact

• Job creation: 1000+ positions
• Accelerated regional development
• Increased import/export flows
• Positioning Moldova as a regional logistics hub

11. Implementation Timeline

Phase 1 (0–18 months)

• Infrastructure
• Initial warehouses
• Solar park launch

Phase 2 (18–36 months)

• Logistics expansion
• Industrial development

Phase 3 (36–60 months)

• Full capacity
• Full energy integration

12. Investment Conclusion

“Ungheni Logistic Hub” has the potential to become:

👉 The largest logistics and energy hub in Central and Eastern Europe

The project combines:

• Strategic logistics
• Industrial production
• Green energy

➡️ Delivering a sustainable, scalable, and highly profitable investment model

PROJECT FINANCING STRUCTURE & INVESTOR FRAMEWORK

Total Project Size

€504 million
Integrated logistics, energy, and agri-infrastructure platform in Moldova, positioned on the strategic Iași–Ungheni–Chișinău–Odesa corridor

1. Capital Structure (Target)

• Equity: €150–180M (30–35%)
  • Sponsor + co-investors + institutional equity partners
• Debt / External Financing: €320–350M (65–70%)
  • Multilateral institutions
  • Development finance institutions (DFIs)
  • Commercial banks (blended)

👉 Phased development recommended to optimize capital deployment and reduce risk.

2. Key Financing Partners

Multilateral & Development Finance Institutions (Core Funding)

• European Bank for Reconstruction and Development
  • Senior debt + potential minority equity participation
  • Strong presence in Moldova
  • Typical tenor: 10–15 years
  • Interest: ~3–5% (depending on structure and guarantees)
• European Investment Bank
  • Long-term financing for green energy and infrastructure
  • Lower cost of capital
  • Often via intermediated lending or co-financing
• International Finance Corporation
  • Private sector financing (debt + equity)
  • Mobilization of additional institutional investors
  • Strong ESG alignment
• Multilateral Investment Guarantee Agency
  • Political risk insurance
  • Enhances bankability and reduces financing costs

Strategic & Geopolitical Financing

• U.S. International Development Finance Corporation
  • Strategic infrastructure financing in Eastern Europe
  • Focus on logistics, energy security, and regional resilience
• UNITED24
  • Potential grant-based or co-financing elements (select components)
• Emerging Ukraine Recovery Funds
  • Focus on cross-border logistics and reconstruction supply chains

EU Grants & Blended Finance

• Neighbourhood Investment Platform
  • Grants covering 5–15% of eligible components
• EU4Moldova
  • Technical assistance, infrastructure support
• Green Economy Financing Facility
  • Financing for renewable energy and energy efficiency

3. Investor Return Profile (Target IRR)

4. Project Components & Return Segmentation

• Logistics Park (Class A)
  • Stable rental income
  • IRR: 10–13%
• Renewable Energy (PV + Storage)
  • ESG-compliant, subsidy-eligible
  • IRR: 8–11%
• Grain Silos & Agro Logistics
  • High demand driven by Ukraine exports
  • IRR: 12–18%

👉 Blended project IRR: ~11–14%

5. Strategic Investment Highlights

• ✅ Prime logistics corridor: direct link between EU and Ukraine
• ✅ EU candidate country (Moldova): improving risk profile
• ✅ Energy independence: integrated renewable generation + storage
• ✅ High demand sector: logistics, agriculture, reconstruction supply chains
• ✅ Scalable platform: modular development approach

6. Risk Mitigation

• Anchor tenants (logistics operators / 3PL / retailers)
• Long-term lease agreements
• Power Purchase Agreements (PPA) for energy
• Multilateral participation (EBRD / IFC)
• Political risk coverage via MIGA

7. Development Strategy

Phase 1 (€120–180M):

• Core logistics infrastructure
• Initial energy capacity
• First tenants secured

Phase 2:

• Expansion of logistics space
• Grain silos and agro facilities

Phase 3:

• Full-scale platform integration
• Regional hub positioning

Conclusion

This project represents a rare institutional-grade opportunity combining:

• Logistics infrastructure
• Renewable energy
• Agro supply chain integration

Positioned at the intersection of EU expansion and Ukraine reconstruction, it offers:

👉 Strong downside protection
👉 ESG compliance
👉 Long-term stable cash flows
👉 Strategic geopolitical relevance