March 24 (SeeNews) - Bulgarian diversified group Republic Holding [BUL:HREP] has decided to increase its equity capital through a new share issue to up to some 6.38 million levs ($3.55 million/3.26 million euro), from 1.59 million levs, it said on Friday.
The company's shareholders authorised the issuance of up to 4,748,226 new voting shares of 1 lev in par value each, priced at 1.02 levs apiece, Republic Holding said in a bourse filing.
The capital increase will be considered successful if no fewer than 1 million new shares are subscribed and paid for.
Current shareholders and those who purchase existing shares within five days of the capital hike notice being published will receive rights to subscribe for new shares, with each right corresponding to three new shares in the company.
Republic Holding plans to use the net proceeds from the offering to finance its activities related to acquiring stakes in other companies, the filing added.
The planned capital increase is subject to approval by the Financial Supervision Commission.
Shares in Republic Holding last traded at 2.00 levs on the BaSE market of the Bulgarian Stock Exchange, bourse data show.
(1 euro = 1.95583 levs)