The proposal was put forth by the company’s managing board and approved by its shareholders at a Wednesday meeting.
The Board proposed a buy-back price range of RON0.1 and RON0.16 a share. Considering minimum and maximum prices, Albalact would pay RON13 million to RON20.8 million for the 19.9% stake.
Albalact shares are currently traded at RON0.1489 per unit.
The buy-back program has as object the share capital decrease and would be carried out over a period of 18 months.
Albalact registered turnover of RON204.5 million in the first half of 2013, up 23% on the year, and profit of RON4.4 million.
Albalact is controlled by businessman Raul Ciurtin, who holds 42.53% of the shares through firms Crisware Holdings (26.86%) and Croniar Holdings Limited (15.67%). Investment fund RC2 owns a 25.45% stake in the company.