March 13 (SeeNews) - Bulgaria's Web Media Group [BUL:WMG] said it will seek its shareholders' approval for an increase of its capital to up to 40 million levs ($21.65 million/20.45 million euro) and a share buyback programme targeting up to 235,000 shares in the company, representing nearly 3% of its equity capital.
Web Media Group plans to raise its capital over five years by issuing new voting shares, converting bonds, or entering into subordinated loan agreements, it said in a bourse filing on Friday.
The company aims to issue bonds with a nominal value of 50 million levs over a five-year period, including convertible bonds, while the subordinated loans must have a term of at least eight years and be subject to a limitation of accelerated repayment to be included in its capital.
Web Media Group's capital is divided into 7.84 million shares with a par value of 1 lev each, bourse data show.
The company said it would pay no less than 1.40 levs and up to 2.10 levs per share in the repurchase of its own stock from April 20 until the end of this year.
Additionally, the company will request an increase in its reserve fund by 766,421 levs to 784,000 levs, using its accumulated premium reserves.
The proposals will be put to the vote at an extraordinary general meeting of shareholders on April 10.
Shares in Web Media Group last traded at 1.50 levs on the Bulgarian Stock Exchange.
(1 euro = 1.95583 levs)