Eurohold Bulgaria has obtained an approval from the Romanian Insurance supervisory body the acquisition of a majority stake in the insurer Asitrans Asiguri, BSE reported.
The shares of Asitrans Asigurari have been transferred and, as of today, Eurohold Bulgaria is officially the majority shareholder.
A general meeting of shareholders will be held August 7. It will vote a capital increase for Asitrans Asiguri and will elect a new Board of Directors which will include Eurohold Bulgaria representatives.
Considerable investment will be made in the filed of IT and the establishment of new company offices in Bucarest and other cities in the country.
The total value of the investment made by Eurohold Bulgaria for the acquisition of 75% of the company's capital, including payment for the shares, capital increase, software and operational integration of the new company, as well as obtaining a majority stake in the leasing company Asitrans Leasing, is expected to amount to 12.5 mln euros before the end of 2007.
Eurohold Bulgaria's investment strategy for Romania also includes the purchase of an office building in Bucarest to serve as headquarters, which will unite the activities of the insurnace, the leasing company, and Euro-Finance AD.
The amount of the investment in the insurance, leasing and financial sectors in Romania is expected to top 30 mln euros between 2007 – 2010.
The main objectives for that period are the achieving a market share of 3% in the filed of general insurance, 4% on the autoleasing market, and the establishment of Euro-Finance AD as one of the leading investment inermediaries on the Romanian capital market.
Currently on the BSE, the company's stock is 0.38% down to an average price of 5.22 leva.