BULGARIAN ESTATES' CAPITAL TO BE DOUBLED
The capital of the two insurance companies, whose common name calls forth associations of Bulgarian property, but since September they are Austrian, will be doubled by a decision of the shareholders of Bulgarian Estates at their general meeting on Tuesday, November 26. The new majority owner Winerstetische will pour into them BGN5MN and thus the equity capital will increase to BGN10MN. It won't be a mistake to say that Winerstetische in fact makes an additonal investment as this is a cash contribution, the Executive Director Dancho Djikov commented for the BANKER weekly. He specified that the equity of the general insurance company will become BGN6MN, and that of the life insurance company will be raised by BGN2MN to reach BGN4MN. Mr. Djikov and Angel Kraichev will already hold together almost 5% of the shares (until now each of them held such a stake). The general meeting made a decision that the boards of directors would be replaced by supervisory and management boards with the same members for the two companies. As the BANKER weekly has already written, Karl Fink, Executive Director and Management Board member of the Austrian insurer, will be the Chairman of both supervisory boards. The former BoD chairman Dancho Djikov will be his deputy. The supervisory boards will include two more Austrians - Rudolf Ertel (who is a member of the Management Board of Winerstetische) and Sasha Bock from the General Secretariat of the Austrian headquarters. The Executive Director of Bulgarian Estates Angel Kraichev was appointed Chairman of the new management boards of Bulgarian Estates, and Ivailo Kudrev will be the second Executive Director as a representative of the majority shareholder in the Bulgarian insurance companies.