Serbia's Tigar hikes capital, Banka Postanska Stedionica stake decreases

Serbia's Tigar hikes capital, Banka Postanska Stedionica stake decreases Author: Tigar Tyres. License: All rights reserved

BELGRADE (Montenegro), February 17 (SeeNews) – Serbian rubber and chemical products manufacturer Tigar [BEL:TIGR] said the stake of local state-run lender Banka Postanska Stedionica fell to 18.9% from 32.7% after a capital hike was executed as part of Tigar's debt restructuring plan.

On February 13, Tigar increased its capital by 1.21 billion dinars ($10.4 million/9.8 million euro) to convert debt to Serbia's social security agency, finance ministry and development agency into equity.

As a result, the Serbian state received 3,235,558 ordinary Tigar shares with a nominal value of 374 dinars apiece, Tigar said in a filing with the Belgrade Stock Exchange.

Following the transaction, Tigar's capital increased to 2.867 billion dinars, divided into 7,665,481 shares.

As a result of the transaction, the 1,448,601 Tigar shares owned by Banka Postanska Stedionica are now equal to a 18.9% stake, Tigar said in a separate bourse filing earlier this week.

Banka Postanska Stedionica took control of the shares following a capital hike of 541.8 million dinars of Tigar in December 22, executed to convert debt to Banka Postanska Stedionica into equity. 

Back then, as a result of the capital hike, the stake of state-owned insurer Dunav Osiguranje [BEL:DNOS] was reduced to 4.86% from 7.23%, Tigar said.

In a separate development, on December 2, Tigar approved a capital hike of 377.6 million dinars to convert debt into share capital. To that end, Tigar issued 1.009 million ordinary shares with a nominal value of 374 dinars each. Lender Jubimes Banka [BEL:JMBN] subscribed for 61,407 shares with a combined nominal value of 23 million dinars and the town of Pirot will get 244,538 shares worth 91.5 million dinars in total. Serbian pension and health insurance state funds subscribed for 581,367 shares and 122,184 shares, respectively.

Tigar's consolidated net loss narrowed to 194.5 million dinars in the first nine months of 2016 from 317.1 million dinars in the like period in 2015.  The main reason for the 2016 loss were the significant costs related to debt repayment and foreign exchange transactions, which reached 283.3 million dinars in the review period.

No Tigar shares were traded on the Belgrade Stock Exchange on Friday. The stock closed the session at 100 dinars.

(1 euro = 124.025 dinars)

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