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Shareholdres of Krasny Pischevik OJSC agreed to increase Government stake to 50% + 1 share

Privatization
17:51 | 26.11.2012 | Business-News
The extraordinary general meeting of Krasny pischevik OJSC shareholders held on November 15 generally agreed to increase the enterprises authorized capital by the amount of the Government support provided in 2012 and to increase the Government stake at the authorized capital to 50% + 1 share, the Chairperson of the Executive Board Valentina Sherstneva informed BUSINESS NEWS.

The enterprise’s website informs that the shareholders owning 165 493 shares (99.86% votes) casted an affirmative vote to increase the Government stake.   

 

The source of the agency declined to mention how many shares the Government owns at Krasny Pischevik OJSC at the moment pretending it is a commercial secret.

 

Valentina Sherstneva noted that the additional issue will be carried out only when a positive decision to provide the Government support is agreed and a new shareholders general meeting is held. "I think the Government support could be provided this year. A defined funds will be provided to implement the enterprise’s modernization", Sherstneva added.

 

The Deputy Director of Beltyazhmash CJSC (the Company owing over a third of Krasny Pischevik OJSC shares, according to BUSINESS NEWS) Svyatoslav Balashchenko said "the agenda of general meeting held was quite , there were no specific issues.

 

Svyatoslav Balashchenko informed that as of today the authorized capital of the enterprise is over 176 thousand shares, and  the Government owns 62-63 thousand or 36% of shares. According to Balashchenko, the Government owns 31 thousand of shares and the Bobruisk Town Executive Committee and the Bobruisk enterprise Vodokanal own almost the same number of shares.   

 

At the same time the source reminded that the Bobruisk Town Executive Committee got enterprise’s stake after these shares were withdrawn from possession of shareholders pursuant to the decision of the Economic Court of Mogilev region.

 

Beltyazhmash CJSC used the withdrawal of moratorium to sale shares purchased on attractive terms in order to increase its stake in Krasny pischevik in 2011. According to the Economic Court of Mogilev region the employers of Krasny pischevik sold 23 thousand 196 shares at BYR 1 billion 850 million to four companies from January 1 till March 2011.

 

Balashchenko specified that shares were purchased by Beltyazhmash CJSC and its affiliate structures in practice.

 

However, the repurchased shares were transferred to the Government ownership by the decision of the Economic Court of Mogilev region on the base of the Presidential Decree No. 107 adopted in March 2011. The document assigned  preferential rights of the regional executive committees and the Minsk City Executive Committee to purchase share that physical persons got under preferential privatization.

 

"We got the compensation only according to the face value of one share. As a result we lost over USD 0.5 million", Balashchenko noted.

 

It is worth mentioning that previously the Government stake was increased to 57% in Kommunarka and to 60% in Spartak after the additional issues of both enterprises shares.

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