Bulgarian Eurohold Raises Capital of EIG To Enhance Its Regional Expansion

Eurohold Bulgaria has subscribed to all 28,799,991 ordinary registered shares with a par value of one lev per share, the group said in a statement.

The Accession Mezzanine Capital II mezzanine fund, targeting Central and South Eastern Europe, backed by the European Bank for Reconstruction and Development (EBRD), has lent the funds for the capital hike to EuroHold Bulgaria. It extended a non-amortising mezzanine loan with a seven-year repayment period.

Eurohold Bulgaria said earlier in October it expected to complete by the end of this year the sale of a 21% stake in EIG to Greece-based fund manager Global Finance for 25 million euro ($33.8 million).

EIG holds stakes in insurance companies operating in Bulgaria, Macedonia, Serbia and Romania.

Shares of Eurohold Bulgaria, part of the broad BG 40 index of the Sofia bourse, gained 4.33% to 2.7 levs on Friday.

(1 euro = 1.95583 Bulgarian levs)