January 11 (SeeNews) - Serbian rubber and chemical products manufacturer Tigar [BEL:TIGR] would raise its capital via a new share issue, it said.
The new shares will be used to convert state-controlled Tigar's debt into equity, the company said in a bourse filing on Wednesday, without providing details on the size of the planned issue.
The capital hike decision was adopted at an extraordinary shareholders meetening held on December 29. The debt-to-equity conversion will be made in line with an earlier government decision to relieve Tigar of some liabilities stemming from the pegging the pay of employees to the length of their service.
The capital of state-controlled Tigar is composed of 8,156,236 shares with a nominal price of 374 dinars apiece. Its shares last traded on December 15, closing flat at 19 dinars ($0.18/0.16 euro).
The government controls directly 31.6% of Tigar. Indirect ownership through various state-controlled funds and companies and municipal bodies brings the share of state control to some 90% of total capital, data from Serbia's business registry showed.
(1 euro = 117.231 dinars)