Brok-Strzelec hopes share and bond issues will reduce its financial problems

Publicly listed brewer Brok-Strzelec, announced plans to begin a process of restructuring which is to be finalized by the end of 2004. The aim of this process is to reduce its liabilities. In order to achieve this, the company plans to issue bonds, shares, and finally bonds which can be exchanged for shares. Thanks to these issues, Brok-Strzelec hopes to raise over zł. 100 million. The process will be guided by brokerage house Erste Securities. The brewer currently has short-term liabilities of around zł. 120 million, which hinder the company's proper functioning. Thanks to restructuring, the debt to own capital ratio should fall to 60%. Currently, the debts exceed its capital fourfold. The first step is to issue company bonds worth zł. 18 million. Further plans envisage the issue of shares at a minimum price of zł. 1.9, worth a total of zł. 50 million. The bond issue which can be exchanged for shares will take place in the middle of next year and will amount to a similar sum. (Puls Biznesu, p. 12) A.K.