July 20 (SeeNews) - Bosnian iron ore mining company RZR Ljubija [BANJ:LJUB-R-A] said it plans to double its capital by issuing new shares in a private placement that would change the ownership structure of the company.
The company intends to issue 50,777,428 new ordinary shares of 1 marka in par value each, which will double its existing equity capital of 50,777,428 marka ($26.6 million/26 million euro), it said in a bourse filing on Tuesday.
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The new shares will be placed with US-based American-Canadian Consortium SE-GEDC. Following the transaction, the new investor will become the biggest shareholder of RZR Ljubija. The mining company's current majority owner, the Investment-Development Bank of the Serb Republic (IRBRS), holds a 65% stake.
RZR Ljubija's shareholders will vote on the proposed capital increase on August 10.
Its shares last traded on the Banja Luka Stock Exchange (BLSE) on July 19, closing flat at 0.80 marka.
(1 euro = 1.95583 marka)