The European Convergence Development Company Limited (ECDC) said it signed a shareholders agreement on 26 June 2007 with Megachim AD, a Bulgarian maker of paints and varnish, for the establishment of a special purpose company to develop a new retail and leisure center located in central Ruse, on the Danube.

ECDC's participation will be via a 4 mln British pound cash contribution into the company's capital, thus acquiring 50% of its shares, the company said in a filing with the news service of the LSE.
The development is anticipated to be completed within 24 months. The total development cost (including land) is estimated to be over 30 mln British pounds, ex-interest, 75% of which is likely to be debt financed.

The development location is within a dense residential area in the central urban district, close to the pedestrian zone and urban transport facilities.

The asset is expected to be Ruse's downtown retail attraction and will consist of over 45,000 sq m of gross floor area accommodating over 20,000 sq m of retail and leisure facilities supported by over 400 car parking spaces. Concept designs are being led by Chapman Taylor and the construction works will be tendered to leading Bulgarian companies.
ECDC, an Isle of Man company, intends to invest in a range of early developments which may comprise any or all of the following sectors in South-East Europe: residential, retail, commercial and industrial property.

The principal target countries are Bulgaria, Romania and Turkey. Opportunities in Croatia and Slovakia may also be sought.(Dnevnik)