February 3 (SeeNews) - Financial and insurance group Eurohold Bulgaria [BUL:4EH] said on Friday Euroins Romania’s capital has been raised to 530 million lei ($126 million/117.4 million euro).
Bulgaria-based Euroins Insurance Group used part of the funds from its own 2016 capital increase to hike the capital of its subsidiary, Euroins Romania in December, by 44 million levs ($24.1 million/22.5 million euro), Eurohold Bulgaria said in a filing to the Sofia bourse.
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Euroins Insurance Group (EIG) is part of Eurohold Bulgaria.
Euroins Insurance Group’s capital was increased by 195.6 million levs to 483 million levs in 2016, in order to finance the group’s expansion and to support its subsidiaries, Eurohold said in the statement.
A further 15 million levs from the proceeds of the group’s capital increase were used to support its Bulgarian subsidiaries - Euroins Insurance, Euroins Life Insurance, Euroins Health Assurance and EIG Re.
In addition, as part of the measures taken in order to optimize the holding’s insurance business, Euroins Health Assurance will be merged into EIG Re, Eurohold announced. The decision is subject to approval by Bulgaria’s Financial Supervision Commission.
“With this merger the share capital of EIG Re will be further increased and the merged company will generate a significant capital buffer, the value of which will exceed by far the minimum legal requirements for the SCR and MCR ratios,” Euroins said in the statement.
EIG operates in seven European countries. It has insurance units in four of them – Bulgaria, Romania, Macedonia and Ukraine.
(1 euro = 1.95583 levs)