Romanian telco giant Digi Communications proposes distribution of bonus shares
Digi Communications, a major telco company in Romania with branches in other countries, has proposed the distribution of bonus shares to its shareholders. The final decision on the proposal will be subject to a vote at the shareholders' meeting on March 20.
Under the proposal, Digi Communications would issue up to two new Class A shares for each existing Class A share, and up to two new Class B shares for each existing Class B share, through the capitalization of reserves and past profits, for a total amount of up to EUR 13 million.
Following the bonus share distribution, the total number of shares would increase from 100 million up to a maximum of 300 million, with approximately 193.7 million Class A shares and 106.3 million Class B shares outstanding. The initiative would preserve the company’s shareholding structure, with shareholders maintaining their proportional ownership.
The proposal aims to recognize shareholders’ long-term support by converting part of the company’s retained earnings and general reserves into share capital and distributing newly issued shares free of charge, proportionally to each investor’s holding.
“We see this proposal as a way to thank our shareholders for their trust and long-term commitment to Digi. By distributing bonus shares, we aim to further support liquidity and improve the accessibility of DIGI shares on the Bucharest Stock Exchange,” said Serghei Bulgac, CEO of Digi Communications.
By increasing the number of shares in circulation, the bonus share distribution is expected to contribute to improved market activity and better trading conditions for investors. The bonus shares would be allocated automatically to shareholders registered at the record date, through the Romanian Central Depository and the company’s shareholders’ register.
If approved in the EGSM, the issuance of the bonus shares is expected to take place no later than June 30, 2026, with the exact timing and technical details to be communicated in due course.
(Photo source: company photo)
