UNION MINIERE TO INVEST BGL170MN IN ITS PIRDOP SITE
The General Assembly of the Union Miniere Pirdop Copper shareholders, held on October 30 voted for the increase of the company capital through issuing new 10,617,999 shares. Each share will have the face value of BGL1 and its issue value will be BGL16. According to the announcement for gathering the General Assembly, published in the State Gazette, the issue value of each share should have been BGL10. Obviously, the majority owner has decided to increase it, thus increasing the cash inflow in the company. Should the whole issue is traded, the inflow will amount to approx. BGL170MN. It is quite realistic to expect an amount similar to this, as 98% of the equity of the Pirdop site is owned by companies, belonging to the Belgian group Union Miniere.
Since Oct 13 the shareholders were enabled to purchasing the new shares. The value of the newly issued papers is three times higher than the total nominal value of the existing 3.54 MN shares and each shareholder will be able to acquire three times more shares than currently owned. The term for buying the shares will be additionally published in two daily newspapers. The increase will be serviced by BNP-Dresdnerbank (Bulgaria) and the investment intermediary Elana, where interested owners will be able to pay the newly acquired shares.