The Slovenia Times

Adria Airways sold to German fund as part of capital hike


The German fund would participate in a EUR 4.1m capital injection confirmed by shareholders of Adria Airways on Tuesday, providing EUR 1m, with the rest coming from the state.

It will additionally pay a purchase fee of EUR 100,000 to the state owners for their 91.6% stake.

The recapitalisation was confirmed by the shareholders at Tuesday's general assembly, which saw the Slovenian Sovereign Holding (SSH) put forward an alternate motion for a capital hike.

The management had sought EUR 8m in fresh cash, but the SSH proposal reduced that to EUR 4.1m.

The new motion was filed after SSH and the Bank Asset Management Company (BAMC) concluded the sales contract with 4K Invest.

The new shares are due to be subscribed by 20 April, the business daily Finance reported.

After the shares are subscribed, the German fund is to complete the acquisition pending regulatory approval and the implementation of a series suspensory conditions. Details of the conditions were not immediately available.

SSH said the EUR 3.1m provided to keep the company afloat would be more cost-effective for the state than bankruptcy. It assessed that 4K Invest was an investor which would be able to restructure the Slovenian flag carrier and help it on the path of growth.


More from Nekategorizirano