DIA To Hold EGM In October To Raise Capital
Spanish retailer DIA has announced that it is to hold an Extraordinary General Meeting (EGM) on 22 October to gain the approval of shareholders to carry out a capital increase of €605 million.
The capital increase will be carried out by issuing 6,055.5 million new common shares for €0.10 per share, of which €0.01 correspond to the face value and €0.09 at issuance premium, amounting to a total of €605 million.
The issuance will be made in the form of credit compensation and cash contributions with preferential subscription rights, and with the possibility of an incomplete subscription.
The capital increase will commit assurance of up to €500 million of the majority shareholder, DIA said.
The issue price of the new shares is in line with the commitment acquired by the majority shareholder to the company's other shareholders.
Recently, the company posted a net loss of €418 million in the first-half of its financial year.
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: European Supermarket Magazine.