Harju Elekter Boosts Share Capital
The Supervisory Board of Harju Elekter Group has taken a significant step to boost the company's financial foundation by increasing its share capital by 17,010 euros. This decision is primarily driven by the company’s initiative to issue new ordinary shares as part of its established employee option program, which was previously approved at a general meeting.
Details of the Share Issuance
A group of four current and former employees of Harju Elekter have actively participated in this share issue. Collectively, they subscribed for 27,000 shares, totaling 121,500 euros. Notably, there remains a balance of 57,500 shares that remain unsold under this initiative.
Supervisory Board Decisions
The Supervisory Board made several crucial decisions regarding the issuance:
- Harju Elekter's share capital will see an increase from 11,654,225.10 euros to 11,671,235.10 euros.
- The company will issue 27,000 new ordinary shares (ISIN: EE3100004250), each priced at 4.50 euros, reflecting a book value of 0.63 euros and a premium of 3.87 euros.
- The capital increase will be entirely funded through monetary contributions, with a payment deadline set for July 4, 2025. After the capital increase, Harju Elekter will have a total of 18,525,770 ordinary shares without nominal value.
- The pre-emptive right to subscribe to these new shares is exclusive to management board members and key personnel of Harju Elekter and its subsidiaries who have entered into option agreements.
- Other shareholders who aren't included in the share option program do not possess any rights to subscribe to the new shares being issued.
- The deadline for exercising subscription rights was set for June 25, 2025. Option holders submitted their application notes in a timely manner; however, 10 holders did not apply while one stated partial interest. The total unanswered options of 57,500 will be invalidated.
- This capital increase will not introduce any special rights concerning the ordinary shares. The new shares will confer the right to dividends starting from the financial year commencing January 1, 2025.
Future Listing Plans
All newly issued shares from this capital increase will be listed on Nasdaq Tallinn on the day following the addition of these shares to the Estonian Central Securities Depository. This process ensures the shares maintain accessibility to investors and compliance with market regulations.
Conclusion
This strategic move by Harju Elekter not only enhances its capital structure but also demonstrates a commitment to incentivizing and rewarding its key personnel through the share option program. Overall, these decisions reflect the company’s proactive approach in establishing a robust financial future.
For more inquiries, feel free to reach out to the Chairman of the Management Board, Tiit Atso, at +372 674 7400.
Frequently Asked Questions
What prompted the increase in share capital by Harju Elekter?
The increase is part of the option program approved to incentivize management and key personnel.
How many shares were issued in this capital increase?
A total of 27,000 new ordinary shares were issued.
What is the subscription price for the new shares?
The issue price for each new share is set at 4.50 euros.
What will happen to the unsold shares?
The unsold shares amounting to 57,500 will be canceled as per the Board's decision.
When will the new shares be available for trading?
The shares will be listed on Nasdaq Tallinn after their registration in the Estonian Central Securities Depository.
