The company’s share capital will be raised to RON201 million from RON169.1 million, by issuing a total 319.2 million new shares with a nominal value of RON0.1 per share.
“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.
Shareholders approved the decision in their extraordinary general assembly of January 25, 2024.
VNC shares have gained 6.6% so far in 2024 and 21.9% in the last 12 months, amid deals worth RON2.5 million. The company, valued at RON301 million, is 76%-owned by Lion Capital (LION.RO) -formerly known as SIF Banat-Crisana-. Paval Holding, the investment vehicle of Paval brothers, the owners of do-it-yourself retailer Dedeman, holds a 17.3% stake.
Vrancart posted RON342 million revenue in the first nine months of 2023, down from the RON410 million in the year-ago period. Its net profit went down slightly to RON8.8 million in January-September 2023, from RON9.1 million in the same period of 2022, as per its third quarter financial report.