The shareholders of Purcari Wineries (BVB: WINE) approved, at their May 26 meeting, the allocation of a dividend of RON 0.55 per share (RON 22 mln or EUR 4.43 mln overall), the equivalent of a gross yield of 5.6% compared to the day's share price of RON 9.84, according to the report of the wine producer published on the Bucharest Stock Exchange (BSE).

The shareholders also authorized the Board of Directors to increase the share capital by issuing a maximum of 2,882,500 new shares (on top of the existing 40,117,5000 through one or more issues of shares.

"Such a capital increase may be appropriate either as a defensive measure - for example, the capital increase in case the company will urgently need additional liquidity, a scenario unlikely at this time, but also as an offensive measure - for example, in the case of a possible acquisition that would be partially or totally financed by Purcari shares," the company's management argues.

The company's market capitalization is RON 395 mln (EUR 80 mln).

iulian@romania-insider.com

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