KYIV. Nov 13 (Interfax-Ukraine) – Shareholders in PZU Ukraine insurance company (Kyiv) at a general meeting on November 11, 2015 decided to increase the company’s charter capital by 80.74% via an additional issue of 1.45 million shares worth UAH 14.496 million.
The company said that the face value of each share is UAH 10.
The placement value equals to their market value: UAH 137.39 per share. The market value was defined by the appraiser – Vedanta-Expert consulting firm – as of October 6, 2015 and was approved by the supervisory board of the company.
The insurer said that the placement of new shares could result in an increase in the stakes of the shareholders: Powszechny Zaklad Ubezpieczen S.A. – 89.9678% of the charter capital (1.615 million shares) and PZU Ukraine Life Insurance (Kyiv) – 10.0297% of the charter capital (180,038 shares).
The company said that 30% of the funds from the placement of new shares will be used to increase the charter capital to develop the insurance product sales chain. The remaining 70% will be used to improve, develop and design new IT technologies aimed at increasing labor and operation efficiency.
Hryvnias will be used to pay for the shares. The conversion of the securities is not foreseen.
The company is now allowed to use the funds received from the placement of shares to pay for them and cover losses.
As reported, the charter capital of the company before the additional issue of shares is UAH 17.954 million.
PZU Ukraine has been working in the Ukrainian insurance market since 1993. It provides a full range of services in conventional insurance. The company has over 100 regional offices across Ukraine. Its services are sold through around 2,000 universal agents.
PZU Ukraine is part of Poland-based PZU insurance group.
