News

3 Bulgarian co's aim to raise over 75 mln levs on cap market

The targeted resource is not that big on the backdrop of the cash sitting on the sidelines and therefore the share sales are unlikely to bomb, said Ivo Tolev, portfolio manager at Synergon Asset Management.

The holding companies, Holding Varna and Holding Nov Vek, will be aiming to rake in up to 50 mln and up to 20 mln levs, respectively. The capital raise proceeds will be spent on the acquisition of new assets, the restructuring of equity holdings in subsidiary companies and the implementation of investment projects.

Holding Varna intends to invest some of the proceeds in a new tourist complex and is currently rezoning the land earmarked for the project.

Cosmetics company Balgarska Roza Sevtopolis, part of the Sopharma group, will attempt to raise just over 6 mln levs to boost output and close the production cycle.

The company, whose 2007 investment program is worth 7.29 mln levs, plans to spend 3.5 mln levs on new equipment, 2.1 mln levs on the retooling of its production facilities and 1.6 mln levs on a new warehouse for medicinal plants and seed silos.

The new shares will be issued in the November 7-December 14 period.