Through a communique, Banca Transilvania (TLV) informed that SIF Banat Crisana (SIF1) has asked in the Court the cancellation of all resolutions from TLV’s latest extraordinary GSM. We remind that TLV?s shareholders have approved a stock dividend and a rights offering amounting to RON 120 mn.
The rights were supposed to be listed for a period of two weeks (starting in early June) while the subscription period was to start no later than July 14, 2010. As the initial deadline of Court is September 7, 2010 it seems that the rights offering will be postponed.
Since the market has priced in the bonus shares and almost 100% subscription rate for the right offering, there might be a short term positive impact on TLV shares. Some investors might price in a favourable verdict for SIF1 and, therefore, a lower number of shares. TLV’s capital position is adequate which means that a delay of the rights offering is not posing serious problems for the moment.
