The managing board also plans to capitalize 9 million lei (EUR1=RON4.1020), representing dividends from the RON12.5 million net profit seen in 2010. During this operation, Antibiotice plans to issue free stock for its holders. This means the share capital would be increased to RON56.8 million, from RON47.7 million.
The company has an investment budget of RON31.6 million this year, compared to EUR6.5 million in 2010.
The reinvestment of dividends would enable the company to access European funding in a RON53 million project where it needs to contribute some RON35 million. The equipment purchase project spans over two years.
According to its budget proposals, presented at the end of January, the company expects sales of RON294 million this year, up 20% from RON243.8 million in 2010. Pretax profit is seen at RON22.4 million, up 21% on the year.
The company is 53.02% owned by the Health Ministry, while regional investment fund SIF Oltenia (SIF5.RO) holds a 10.09% stake.
Antibiotice shares closed up 3.59% Friday, to RON0.606.