Bulgarian sugar mill Zaharni Zavodi to take out 6 mln euro loan

The loan will have a term of two years, Zaharni Zavodi said in a stock exchange filing.

Zaharni Zavodi said last month that the loan will be used to support the company's retail and wholesale activity, adding that it will pay a fee for the loan corresponding to market interest rates.

Earlier this week, the company said that its management and supervisory boards have decided to increase the company's capital by some 1.1 million levs by converting bonds into shares.

Zaharni Zavodi operates several production facilities, including a confectionery plant and a sugar refinery in the town of Gorna Oryahovitsa, in northern Bulgaria.

Shares in Zaharni Zavodi last traded on the BaSE market of the Bulgarian Stock Exchange at 3.34 levs.

(1 euro = 1.95583 levs)