Bogdan to consider raising share capital by merging assets

At their EGM on August 29, Bogdan Automobile Plant (LUAZ: BUY) shareholders are scheduled to vote on increasing the company’s charter fund via issuing an additional of 1,100 mln shares. In line with the Bogdan Corporation’s assets consolidation, the new capital is planned to be contributed in the form of cash or assets (see our April 11 report), including shareholders’ stakes in Bogdan subsidiaries Cherkasy Bus, Bogdan Special Vehicles Technology, production facilities in Simferopol and a logistics complex in Cherkasy. The subscription price will be available after an international audit, which is currently underway. Inna Perepelytsya: The company has already stated that it would respect the rights of minority shareholders during restructuring.