Kovelmoloko OKs 15.2x charter fund increase via share issue

At their AGM yesterday, Kovelmoloko (KMOL: BUY) shareholders voted to increase the company’s charter fund by 15.2x to USD 58.6 mln via an additional share issue. The company will issue 1,062,757,000 shares at par, USD 0.05 per share. Subscription will take place in two stages: (1) on a pro-rata basis from November 3 to December 12, 2008; and (2) from December 15 to December 26, 2008. Proceeds will be spent to redeem debt and increase whole-milk production capacities, from 100 to 300 mt per day. In other news, Kovelmoloko said it received a one-year credit line for USD 3.6 mln from Ukreximbank at 13.9%.