The auction for 150 000 rights from the initial capital increase of HBG Fund REITS will be held May 30 on BSE- Sofia, the bourse announced.

Secondary trade will start the same day and will continue till June 12 (Tuesday). Rights will be traded under the code R2HBGF.

HBG Fund REITS is planning to increase capital by the minimum regulated amount of 30% to 650 000 leva.

Shares from the capital increase may be subscribed till July 6, 2007. IP Zagora Finarcorp AD will be the bourse member authorized to service the capital increase and the bank account will be opened with CB Reiffeisen Bank Bulgaria EAD.

HBG Fund REITS is planning to build a commercial complex comprising coffee shops, offices and apartments in Sofia, the area of Studentski Grad, the company’s prospectus reveals.

Its total built-up area will be 8 870 sq.m. and the project’s cost is estimated at approximately 7 mln leva.

The building is to comprise five main and two additional levels. The ground floor will have a cocktail bar and a restaurant, and a pool club and an Italian restaurant will be situated on the first floor.

The construction will start March, 2007 and is expected to take up to 27 months. HBG is planning to use the funds raises in the initial capital increase (to 650 000 leva), the secondary capital increase(up to 8 mln leva which is to take place till the end of 2007) as well as debt financing in the amount of 2 mln leva.

HBG Fund REITS is founded by DF Standard Investment Fund managed by UD Standard Asset Management AD controlling 30% of the capital, Area Ltd and July Ltd own 35% each.