The share capital increase will be operated in two stages, namely, EUR200 million, by the end of 2015, and up to RON200 million in the second half of 2016.
The financial recovery plan drawn up and approved by ASF includes measures aimed at improving the company’s financial situation and solvency by the end of the third quarter in 2016.
The measures target, among others, to increase the company’s share capital by RON200 million by December 31, 2015, revise the reinsurance program, change the statutory external auditor, as well as to revise the policies and procedures in order to improve the corporate governance framework and to meet the Solvency II standards.
Euroins also undertakes to continue the strategy of diversifying its insurance portfolio by launching new products and tapping new market segments.
In October this year, ASF decided to open financial recovery procedures for insurer Euroins Romania, in a move to improve the company’s financial situation, within one year.