Konic Is Back To Business In Turkey!

In July 2024, Marko Konic, CEO of FYA Holdinska Družba d.o.o. (formerly ETA Group), acquired three Turkish companies with four factories - Ekofood, TAG Tarım, and Gurme 212 - boasting €23 million in net consolidated sales and €3.85 million EBITDA as audited by KPMG Turkey. The deal, valued at roughly €40 million, has since descended into what industry observers are calling a "corporate tragedy."

The Impact

Despite the substantial valuation, Konic spent only €12 million and immediately ceased all investment, triggering a cascade of failures that has already cost over 300 direct jobs. With the ripple effects through subcontractors and suppliers, an estimated 500 Turkish workers and their families face economic devastation due to what critics call Konic's "M&A games."

The €40 Million Vanishing Act

During the Share Purchase Agreement (SPA) negotiations, Konic promised to inject €40 million in cash into ETA Group to fund the acquisition of ETA Kamnik, Natureta, and the three Turkish companies. But in a last-minute maneuver designed to game the Slovenian tax system, he switched the structure to just €4-5 million in actual cash, padding the rest with €45-46 million in "assets" to reach the €50 million capital requirement.

It was classic bait and switch," recalls a source involved in the negotiations. "He promised real money, then delivered accounting tricks.

From Profits to Catastrophic Losses

In a stunning display of mismanagement, Konic has turned Turkish companies that he acquired into massive loss-makers across two countries in just one year. The numbers are staggering: €13.5 million losses in Slovenia and €2 million losses in Turkey, totaling €15.5 million in 2024 alone. This from companies that were generating €2-4 million in net profits annually before his takeover.

This dramatic reversal comes despite his promise to share 10% of Natureta/ETA Kamnik's profits with the sellers for four years - a promise now rendered meaningless by the engineered losses.

In just 14 months, Konic has managed to drive the acquired Turkish companies toward bankruptcy, firing 300 employees and forcing out the previous shareholders. His justification? Claiming expertise from Natureta's success in Slovenia - where the company enjoys a virtual monopoly in the canned foods market.

Pattern of Broken Promises

This isn't Konic's first rodeo when it comes to acquisition payment disputes. In 2018, he pulled a similar move with a Slovenian vinegar company acquisition, failing to pay the agreed amounts to sellers. History appears to be repeating itself in Turkey.

The Modus Operandi

The pattern is clear: make grandiose promises during acquisition negotiations, deliver minimal actual investment, extract maximum value through financial engineering, and leave workers and creditors to deal with the wreckage. From Bosnian investment funds in 2007 to Serbian banking deals in 2022, the playbook remains remarkably consistent.

What's Next?

As Turkish workers face an uncertain future and creditors line up, questions mount about accountability. Will regulators in Slovenia, Turkey, or elsewhere finally take action? Will previous sellers who were promised profit-sharing ever see a cent? Or will this be yet another chapter in a two-decade pattern of corporate devastation?

The Turkish disaster of 2024 may be Konic's most visible failure yet, but the documents suggest it's far from an isolated incident. It's the latest data point in a pattern that spans 17+ years, five countries, and countless ruined livelihoods.

Marko Konic, CEO of FYA Holdinska Družba d.o.o. (formerly ETA Group)