On Monday, during the meeting of the board, Dariusz
Malaszkiewicz, Gant’s CEO will choose how newly issued shares of Budopol Wroclaw
will be sold. 33 percent of the company belongs to rival Gant.
“Gant may
announce a tender call to buy the shares and it will do so if it believes it’s
good”, Mirosław Motyka, Budopol Wrocław CEO said.
“The option must be taken into account that Gant buys big part of the issue”, Henryk Feliks, Gant deputy CEO said.
On Tuesday, Budopol GSM decided to issue 26m shares. Gant Development had said before it wanted to acquire part of the issue. It is going to increase its stake to 66 percent. The capital increase will be conducted in the second half of the year. The issue price will amount to PLN 1-2 (EUR 0.3-0.6). Budopol is going to spend the new funds for acquisitions. It is negotiating with two companies, a road construction company and an installation company. Talks will soon be concluded. Budopol also wants to launch regional outlets in Poznan, Krakow and Warsaw.
Budopol’s shareholders decided to spend the whole net income generated in 2007, i.e. PLN 4.11m to cover losses from previous years.
(PLN 1 = EUR 0.295)