December 3 (SeeNews) - Bosnian insurer Grawe Osiguranje Banja Luka said it is increasing its capital to 13.6 million marka ($7.7 million/7.0 million euro) from 8.0 million marka following the merger with local peer Atos Osiguranje.
Both insurers are members of Austrian insurance group Grawe and their shareholders approved at extraordinary meetings on November 29 their merger agreement and the decision to hike the capital of Grawe Osiguranje once the merger is completed, the insurers said in a joint filing to the Banja Luka Stock Exchange on Monday.
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Once the process is completed, Bijeljina-based Atos will merge into Grawe Osiguranje and the shareholders of Atos will receive one newly-issued Grawe share for each ten existing Atos shares, the statement said.
Grawe will issue a total of 5,600 new regular shares of 1,000 marka in par value each to replace Atos' existing share capital divided into 56,000 shares of 100 marka in par value each.
Following the increase, Grawe Osiguranje's share capital will be divided into 13,600 shares of 1,000 marka in nominal value each.
Last month, the Bosnian antitrust regulator approved the merger of Atos and Grawe Osiguranje, saying it will not hinder competition.
Grawe acquired Atos in 2018 in a deal worth just over 23 million marka.
The Austrian insurer runs a unit in each of Bosnia's two constituent entities, the Federation and the Serb Republic.
Grawe Osiguranje Banja Luka is based in the Serb Republic, while Grawe Osiguranje Sarajevo is based in the Federation.
(1 euro = 1.95583 marka)
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