The machines cost 165,000 euros, and their delivery is scheduled for January 2008. Payment will be made in three installments. The company will use own funds plus a credit to finance the deal.
Emka expects that theinvestment will be repaid in 36 months, after the machines' starting date of operation.
The company's core activity is the production of enamelled copper round wires, cords and power cables.
We remind that Emka JSC increased capital from 1 792 148 leva (916,310 euros) to 5 376 444 leva (2.749 mln euros) using own resources, by transforming 2006 profit and part of the reserves into capital.
The new 3 584 296 shares will be allocated among investors in a proportion to their interest in the capital proir to its increase – each shareholder receives two new shares for free. The new shares have not been registered for trade on the BSE yet.
Emka posted a net non-consolidated 1Q profit in the amount of 662,000 leva (338,475 euros) against 757,000 leva (387,048 euros) in the respective period a yer ago.
Kemp AD controls 38.73% of its capital, and Industrial Capital Holding and Biser Ivanov have 33.42% and 14.07% respectively.
95 shares changed hands on the position yesterday, at an average of 14.07 leva.