The Segezha Group timber holding, which is part of Sistema's asset portfolio, has successfully completed an additional share issue, which resulted in 113 billion rubles being raised in the company's capital. As a result, Segezha Group's debt will be reduced threefold.
The additional issue of Segezha Group was attended by its largest shareholder AFK Sistema and a number of external investors, including key creditors of the timber holding. All shares stipulated by the placement decision were successfully placed among investors.
AFK Sistema is confident in the success of Segezha Group's business and retains a controlling stake in its share capital, the corporation noted. Segezha Group is a company with a unique resource base, stable production capacity utilization and strong positions, including in high–margin product segments. Thus, "the company has all the prerequisites to achieve high and, most importantly– stable operational results," the corporation emphasizes.
The funds received as a result of the additional issue are used to repay the debt of Segezha Group. The financial debt will decrease to 60 billion rubles. The company will significantly reduce interest payments, be able to focus on successful development and further achieve operating profit.
"We have managed to give an impetus to the development of not only Segezha Group, but also the entire industry, which is of key importance for our country. This unique deal will allow the company to take a deep breath and continue moving forward. We thank the management of the Bank of Russia, the Ministry of Industry and Trade, our creditors and investors for their constructive position," AFK Sistema commented on the results of the additional issue.
Earlier, at an extraordinary meeting on December 26, 2024, the shareholders of Segezha Group approved an increase in the authorized capital by placing additional shares of the company in the amount of 1.80 rubles per share.
Please note that this press release is based on materials provided by the company. AK&M Information Agency shall not be held liable for its contents, nor for the legal and other consequences of its publication.
