ΜΗΧΑΝΙΚΗ Α.Ε.
Press Announcement
The management of Michaniki Group of Companies in the occasion of the Extraordinary General Assemblies of the Company's Shareholders that will take place on January 20, 2010, would like to inform the broad investment public and the company's shareholders for the initiative of the increase of the share capital as it is fully described on the press announcement to the Athens Stock Exchange Market.
More specifically, it is planned to issue 46,453,256 new common registered shares with a voting right which will be carried out with payment in cash and pre-emptive right in favour of the old shareholders of the Company in a ratio of one (1) new common registered share with a voting right per two (2) old common or preferred shares.
According to the management of the Group, the intended increase of the share capital is considered to be necessary, in order to boost the capital liquidity of the Group and to accelerate the investment program in parallel with the decrease of bank loans that have been facilitated for the acquisition of real-estate plots in selected countries abroad.
The Managing Director of Michaniki, Mrs. Melina Emfietzoglou stated the following: "We cannot remain inactive under the current circumstances that demand prompt decision making and dynamic confrontation of the sector problems.
For this reason, we are regarding the boosting of the capital liquidity through the increase of the share capital as the mean for continuing our growth strategy course in 2010. Acting in this way, we are going to prevent the negative side effects that can be potentially caused to the operations of the Group from the delays in the compensations received for delivering public projects that in the current moment amount at 40,0 million Euros.
In any case, it is clear the Michaniki is obliged to continue its investment program in an intensive pace, because only by this way, it will take the full advantage of the forthcoming recovery of the markets that is operating and more importantly in the real estate market.
The proceeds from the increase of the share capital will be used among other purposes, for the construction of hydroelectric projects in Karpenisiotis River in Evritania Prefecture, Western Greece and in Agios Nikolaos in Arta Prefecture, North-Western Greece, budgeted at 11 million Euros and 200 million Euros respectively.
Moreover, the proceeds from the intended increase of the share capital will be used for decreasing further company's bank loans. More detailed information related to the distribution of the capital proceedings along with the exact amount of it, will be provided upon the approval of the related prospectus addressed to the Hellenic Capital Market Commission.
More specifically, it is planned to issue 46,453,256 new common registered shares with a voting right which will be carried out with payment in cash and pre-emptive right in favour of the old shareholders of the Company in a ratio of one (1) new common registered share with a voting right per two (2) old common or preferred shares.
According to the management of the Group, the intended increase of the share capital is considered to be necessary, in order to boost the capital liquidity of the Group and to accelerate the investment program in parallel with the decrease of bank loans that have been facilitated for the acquisition of real-estate plots in selected countries abroad.
The Managing Director of Michaniki, Mrs. Melina Emfietzoglou stated the following: "We cannot remain inactive under the current circumstances that demand prompt decision making and dynamic confrontation of the sector problems.
For this reason, we are regarding the boosting of the capital liquidity through the increase of the share capital as the mean for continuing our growth strategy course in 2010. Acting in this way, we are going to prevent the negative side effects that can be potentially caused to the operations of the Group from the delays in the compensations received for delivering public projects that in the current moment amount at 40,0 million Euros.
In any case, it is clear the Michaniki is obliged to continue its investment program in an intensive pace, because only by this way, it will take the full advantage of the forthcoming recovery of the markets that is operating and more importantly in the real estate market.
The proceeds from the increase of the share capital will be used among other purposes, for the construction of hydroelectric projects in Karpenisiotis River in Evritania Prefecture, Western Greece and in Agios Nikolaos in Arta Prefecture, North-Western Greece, budgeted at 11 million Euros and 200 million Euros respectively.
Moreover, the proceeds from the intended increase of the share capital will be used for decreasing further company's bank loans. More detailed information related to the distribution of the capital proceedings along with the exact amount of it, will be provided upon the approval of the related prospectus addressed to the Hellenic Capital Market Commission.