The decision will be put to a vote at the general meeting of shareholders due in late April 2023. The shareholders’ agenda includes, among others, the distribution of a gross dividend of RON0.01 per share, which entails a nearly 6% yield, relative to an actual trading price of RON0.168 per share.
Shareholders are also expected to approve a decision setting September 12, 2023 as the ex-date, September 13, 2023 as the registration date and October 3, 2023 as the payment date.
They will also vote on a decision to approve the increase of the company’s share capital, in the amount of RON49 million, to RON169.2 million from RON120.34 million, by issuing a number of 488.4 million new shares, with a nominal value of RON0.10 each. The share capital increase is based on the Company’s need for development, by expanding production capacities at the toilet paper, cardboard and packaging mills, their refurbishment, as well as the engagement of new relevant projects, in line with the Group’s general development plan, according to Vrancart representatives.
Each holder of Preference Rights will be entitled to subscribe, with pre-emptive rights, in proportion to the number of Preference Rights held, for a number of new shares calculated according to the formula: rights held x Subscription rate, rounded down to the nearest whole number.
“The number of Preference rights shall be equal to the number of issued shares of the Company registered in the Register of Shareholders of the Company maintained by the Central Depository S.A. on the record date of May 18th , 2023; each shareholder registered in the Register of Shareholders of the Company maintained by the Central Depository S.A. on the record date of May 18th, 2023 shall be allocated a number of Preference Rights equal to the number of shares held”, the convening notice reads.
VNC shares have gained 10% in 2023, amid deals worth RON245,000. The Group is valued at RON202.2 million.