Eurobank Properties R.E.I.C. successfully completed its share capital increase in cash, to existing shareholders, at a ratio of three (3) new shares for every two (2) shares held at a subscription price of euro9 per share. The funds raised from the share capital increase amount to euro329.4 million.
In the context of the capital increase, a total of 36,600,000 new shares of a nominal value of ?2.13 and at a subscription price of euro9 each will be issued, for which 93.18% of shareholders subscribed (34,103,456 shares). Additionally, 48,510 shares (0.13%) were subscribed for through the exercise of the employees' rights (at a subscription price of ?9 per share). The over - subscribers covered a percentage of 3.41% of the capital increase, subscribing for 1,246,284 new shares. Finally, in the context of the private placement 1,201,750 new shares were subscribed for, corresponding to 3.28% of the capital increase. In the context of the private placement the demand for new shares exceeded the shares offered by 1.1 million shares.
The success of the share capital increase, at the current time period where the crisis of the subprimes has led to strong pressures in the international markets which has also affected to a certain extent the real estate sector, demonstrates the strong support of the shareholders, institutional investors and individuals, in the progress and prospects of Eurobank Properties R.E.I.C.
Following its capital enhancement, the Company intends to continue expanding its business in Greece, where it already has a significant presence, as well as in the countries of Central and Eastern Europe, such as Romania, Bulgaria, Serbia and Ukraine, which demonstrate significant prospects and opportunities for the development of the Company's business.
It should be noted that the Company has already invested in Romania and Serbia, of a total investment value exceeding euro99 million based on the acquisition price. The Company has already signed promissory contracts for the acquisition of properties in Greece (nine properties of total acquisition price of euro51.6 million) and Romania (two investments through acquisition of participations in special purpose vehicles of total acquisition price of euro50.6 million).
Furthermore, the Company currently examines a number of potential property investments of an approximate value of euro 757 million, of which euro607 million are property investments in Greece and euro150 million are property investments in Central and Eastern Europe. The Company intends to finance these investments partly through the funds raised in the share capital increase and partly through loans.