PAMPOROVO AD was poised to approve a nearly threefold increase of its capital, the State Gazette announced last week.
Upon completion of the move, the holding will boost its capital from 358 000 to about 1.076 million leva.
The new shareholders, the State Gazette said, would become owners of stock with a nominal value of one lev and related voting rights.
The move is to follow the current sale of a 10 per cent stake of the state in return for compensatory instruments.
The proceeds from the capital raised will be used for the rehabilitation of the holding's hotels, Arpha and Perelik, and the replacement of parts of the lift network. The refurbishment will start no later than May this year, when the transfers from the money transactions are expected to be finalised.
The subscription for the new issue of stock will start two weeks after the stakeholders' approval of the move. The subscription will be carried out through SIBank.
The value of Pamporovo stock recently fluctuated in the three leva to five leva range. Experts projected that the new shares would be sold at two leva a share. For this reason, brokers of the state stake predicted heated trading and an upward adjustment of the stock's value by February 25, the expected start date for the subscription. According to simple calculations, experts said, owners of one old share would have the opportunity to obtain two new shares of the holding.
Under the current capital structure, the owner of 60 per cent of Pamporovo AD is Tourist Invest, a Swiss holding. The Zurich-based company bought the majority stake in 2001 for $11 million through a tender organised by the Ministry of Economy.
The move is consistent with the goals of the association, established late last year by Pamporovo hoteliers to improve the infrastructure of the resort.
Upon completion of the move, the holding will boost its capital from 358 000 to about 1.076 million leva.
The new shareholders, the State Gazette said, would become owners of stock with a nominal value of one lev and related voting rights.
The move is to follow the current sale of a 10 per cent stake of the state in return for compensatory instruments.
The proceeds from the capital raised will be used for the rehabilitation of the holding's hotels, Arpha and Perelik, and the replacement of parts of the lift network. The refurbishment will start no later than May this year, when the transfers from the money transactions are expected to be finalised.
The subscription for the new issue of stock will start two weeks after the stakeholders' approval of the move. The subscription will be carried out through SIBank.
The value of Pamporovo stock recently fluctuated in the three leva to five leva range. Experts projected that the new shares would be sold at two leva a share. For this reason, brokers of the state stake predicted heated trading and an upward adjustment of the stock's value by February 25, the expected start date for the subscription. According to simple calculations, experts said, owners of one old share would have the opportunity to obtain two new shares of the holding.
Under the current capital structure, the owner of 60 per cent of Pamporovo AD is Tourist Invest, a Swiss holding. The Zurich-based company bought the majority stake in 2001 for $11 million through a tender organised by the Ministry of Economy.
The move is consistent with the goals of the association, established late last year by Pamporovo hoteliers to improve the infrastructure of the resort.
