Companies Split For Real Estate Profits Fimaro SA, Most Recent Split To Create Real Estate Company

Cluj Napoca-based Fimaro SA was suspended from transactions due to company split, following the decision made on January 31st in the General Meeting of the shareholders.

The company split will be done by decreasing the share capital from 1.376.095 RON to 1.276.095 RON and a corresponding reduction in the number of shares to 510.430, by canceling 40.000 shares. The company split will result in a spin-off, namely Fimari Imb SA, which will be active in the real estate market.

Fimaro SA manufactures textile machinery and fabricated metal products and it is listed on the Bucharest Stock Exchange, on the Rasdaq market, under the symbol FIMA.

Several other companies are interested in the real estate market. In October 2006, shareholders in Constructii Nuclearo Electrice approved a company split in order to create Constructii Nuclearo Edilitare, a spin-off which will be active in warehouse, office and land rental. In this case, the company"s main objective was debt reduction.

The shareholders in Fimaro made their decision based on economical and financial reasons. The share capital consists of production spaces, annexes and land, and the reconfiguration ensures more stability for the new companies in terms of business development. Also, Fimaro Imb will be able to find new sources of financing and manage its activities more efficiently. The new company will take over permanent assets from the holding company, consisting mainly of real estate worth 127.705,51 RON. The new company will not take over the holding company"s debt.

On October 25th 2006, the significant shateholders in Fimaro SA were David Victor (15.14%), Scortaru Aristide (15.11%), Lasca Stefan (15.09), Baciu Voicu (15.8%) and SC Finans Invest (14.66%). Following the company split, the shareholders will keep their ownership stake and voting rights in both companies.