Unused rights will be auctioned September 5. The new shares must be subscribed between 14 August and 23 September.
Investment intermediary Karoll will be underwriter of the capital increase procedures and the bank account will be opened with UBB.
The final date for trade in shares of the REIT, as a result of which the holder will be entitled o participation in the capital increase, is August 8 (Friday).
As you know, Advance Terrafund REIT is planning to hike capital by 66.084 mln leva, from 44.056 mln to 110.14 mln leva (56.3 mln euros) via issue of 66.084 mln shares at an issuing price of 1.90 leva.
The company issued 44.056 mln rights in a 1:1.5 proportion to the number of new shares.
The capital will be increased if at least 25 mln new shares are subscribed and paid.
Advance Terrafund will use the funds to complete its investment plans – to consolidate land parcels, to repay a 15 mln euro bank loan and to improve the company's liquidity.
“We are planning to have a total of 450,000 decares of agricultural land by the end of 2009, which is quite an ambitious program, specially in view of consolidation and renting out of the plots. At the same time, arable land is continuing to appreciate by some 30% each year - a tendency we expect to be sustained in the future,” the fund CEO Radoslav Manolov said earlier.
Advance Terrafund currently controls 238,000 decares of arable land and 130 decares of land in urban areas worth at least 99 mln leva (50.6 mln euros), or 2.25 leva/share. This figure takes into account H1 reevaluation of properties.
Shares closed at 1.88 leva today, which is 2.17% up from opening. Some 15,000 shares changed hands today.