Banca Transilvania repurchases 25 million shares

Banca Transilvania yesterday repurchased 25 million of its own shares from the group’s insurance company, BT Asigurari, as part of a repurchase programme designed to secure shares that will be distributed among employees, sources with the bank stated. “With the 25 million shares bought today (yesterday i.e.) in addition to the ten million left from the capital increase operation, we are finalising the repurchase process in view of transferring stock to our employees,” the quoted sources stated. The transaction was concluded on the deal market at 1 RON/share, over 10% less than the price at which the Banca Transilvania was trading on the regular market at the session’s close (1.12 RON/share). The shareholders of the bank in April approved the repurchasing of up to 70 million shares in view of transferring them to the employees as part of an employee retention programme. The Extraordinary General Meeting of Banca Transilvania shareholders at the same time decided to increase the share capital of the company by 156 million RON, to 392.7 million RON, partly by contribution in cash from shareholders. The shareholders subscribed shares worth 120.8 million RON, that is 97.2% of the shares offered. The remaining 9.8 million euros will be offered for subscription to the bank’s employees at a price of 0.36 RON each, as part of the same retention programme.