Bosnia's Serb Republic to convert Kosmos' debt into capital - report

Kosmos, together with tax authorities and the entity's Investment-Development Bank (IRBRS), is currently working on a plan to convert its old obligations to social security funds into share capital, news agency Capital reported on Thursday, citing Kosmos' director Dusan Vjestica as saying.

The company's ultimate goal is to complete the financial restructuring by 2030, but seeks to expedite the process to settle debts and prepare for a potential privatisation, the report reads.

In 2021, Capital reported that Serbia plans to buy a majority stake in Kosmos in a deal that will also see the company pay off debt to creditors and transform debt owed to local funds into share capital.

Kosmos is active in the overhaul of radar, missile and computer systems. The company's production halls have a total built-up area of 32,000 sq m.

The Serb Republic is one of two autonomous entities that form Bosnia and Herzegovina. The other one is the Federation.

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