The board of Exbus Asset Management Nyrt, formerly busmaker NABI Rt, will propose to a shareholders' meeting reducing the company's registered capital to bring it under net assets, according to the agenda for an EGM to convene on December 1 posted on the website of the Budapest Stock Exchange (BÉT).
Exbus has registered capital of Ft 518 million, well over its net assets of Ft 402 million. The board seeks to lower registered capital to Ft 305 million. At the same time, the board will see shareholder approval to raise registered capital by as much as 50% between January 1, 2007 and December 31, 2009. The board said capital could be raised "for the purpose of the more efficient harnessing of the investment outlets" through the issue of new shares to be placed privately. The proposal requires the approval of only a simple majority of shareholders.
At an earlier meeting in August, shareholders rejected a proposal to raise capital and use the fresh cash to buy car parts companies. NABI, pressed by debts, earlier agreed to sell its wholly-owned subsidiary NABI Inc, NABI Rt's business infrastructure, a plant in Kaposvár as well as its contracts and name. NABI Rt was to have been wound up after the sale, but shareholders rejected the proposal.