Bosnian unit of Croatia osiguranje announced an offer to take over Croatia-Remont

25 January 2024 — Daniela GHETU
Bosnia-based insurer Croatia osiguranje dd Mostar, a subsidiary of the Croatian insurance market leader, announced an offer to take over Croatia-Remont dd Capljina, reported. 

Croatia Osiguranje already owns 83.47% of Croatia-Remont's shares, the takeover offer referring to the remaining 16.53% of the total number. The offered price per share is 50.00 KM, which represents 58.8235% of the nominal value of the shares.

Croatia-Remont has a total of 42 shareholders, and the largest after Croatia Osiguranje is BIL doo Capljina with a 12.37% stake. Croatia Osiguranje recently increased its ownership stake in Croatia-Remont by purchasing 13.68% of the shares. In 2021, Croatia-Remont stopped providing technical inspection services, further generating income exclusively from the services of renting land and construction facilities to the related company Crotehna doo Ljubuski.

On December 31, 2022, the company reported a profit in the amount of 24 thousand KM – about EUR 12,250 and an accumulated loss in the amount of 550 thousand KM (EUR 281,200), while short-term liabilities were greater than short-term assets in the amount of 2 thousand KM. While the overall financial status of the company slightly improved as compared with the previous year, the company's audit report for 2022 states that the continuity of operations depends on financial support and the ability of Croatia Osiguranja dd Mostar as the owner to provide additional amounts of financing necessary for the continuation of operations. The majority owner undertook to provide financial support to Croatia-Remont in a letter of support signed on April 12, 2023 for a period of at least twelve months.