Galnaftogaz EGM OKs increasing charter fund 16.7%

Galnaftogaz (GLNG) shareholders, at an EGM on Monday, approved going forward with a 16.7% charter fund increase to UAH 204.6 mln via an additional share issue. The company will issue 2,931,936,197 new ordinary shares. Andriy Gerus: This charter fund increase is the first stage of the European Bank for Reconstruction and Development’s USD 50 mln capital injection. Subscription will be at UAH 0.08 per share (USD 0.01 according to the official exchange rate). Thus the EBRD will pay USD 21.99 mln for an 11.2% stake in Galnaftogaz, putting the post-money value of the company at USD 197.13 mln (vs. pre-money value of USD 175 mln). According to the company’s management, the share issue should be completed in December 2009 – January 2010. The second stage of the EBRD’s capital injection, in the amount of USD 30 mln, is planned to be completed in 2010.