RCS&RDS, 208m RON capital increase

RCS&RDS, the biggest cable TV operator domestically, plans to increase its share capital by 208m RON (49m euros), to 250m RON (59m euros), through cash contributions by its shareholders or by converting debt into equity, according to an announcement published in the Official Gazette. The company is set to issue 2 billion common nominative shares with a face value of 0.1 RON/share, according to the proposal to be discussed during shareholders’ meeting on 17th of September. The company’s officials could not be contacted for details. After having failed to get listed on the LSE in 2007, the company took out a syndicated loan worth 500m dollars from a banking consortium led by ING and Citi to finance investments and pay back some older loans, this way becoming one of the most indebted domestic companies. At the end of 2007, when the company’s revenues stood at 347m euros, RCS held debts of 499m euros and 99m-euro receivables, in line with Finance Ministry data. Last year, the operator generated revenues worth 700m dollars (almost 500m euros).