September 10 (SeeNews) - Shareholders of Croatian hotel operator Imperial Riviera [ZSE:HIMR] on Friday approved a proposal for an 83.4% increase of its capital, to be carried out by pension fund manager Allianz ZB and hotel operator Valamar Riviera [ZSE:RIVP] by investments in cash and real estate assets, Imperial Riviera said.
The company did not provide details in a statement issued after a shareholders meeting.
According to an invitation for the shareholders meeting, the share capital of Imperial Riviera will be increased by 689.8 million kuna ($109 million/92 million) to 1.516 billion kuna by issuing 790,010 new ordinary shares.
Allianz ZB in its name and on account of 11 mandatory and voluntarily pension funds will get 385,886 new shares in Imperial Riviera for 336.9 million kuna. Porec-based Valamar Riviera will take part in the capital increase by contributing its real estate assets based in Dubrovnik to get 404,124 shares in Imperial Riviera. The company's other shareholders will not have priority rights to subscribe for the new shares.
Currently, the company's equity capital of 826.7 million kuna is distributed in 1,489,463 shares without set face value.
After the capital increase, its capital of 1.5 billion kuna will be distributed in 2,279,473 shares without set face value. The newly-issued shares will be listed on the regular market segment of the Zagreb bourse no later then 12 months after the decision for the capital increase.
Imperial Riviera claims to be one of Croatia's 10 largest tourism companies. It is headquartered on the island of Rab and has hotel capacities on Rab, in Porec and in Makarska along the Croatian Adriatic coast.
Valamar Riviera's shares traded at 29.40 kuna on the Zagreb bourse intraday on Friday, up 1.38% from the previous closing price.
Imperial Riviera's shares closed unchanged at 835 kuna on Thursday. On Friday afternoon the bourse put them in segment of monitoring due to the decision for the capital increase.
(1 euro=7.489 Croatian kuna)