On Oct 30th, 2017, EUROINS AD's Management Board decided to increase its capital from BGN 16.47 million to BGN 32.47 million via the issuance of 16 million new shares with a nominal value of BGN 1 each and issued at the same price apiece. All new shares have been subscribed and paid in by EIG, the majority shareholder of the insurer. Subsequently, EIG transferred BGN 16 million, the required amount of money necessary to pay the capital hike. "The changes were entered into the country's commercial register on Dec 7th, 2017 and are expected to be signed this week."
Doubling its capital, EUROINS has already achieved 120% coverage of SCR ratio, the most important indicator for stability in the insurance sector. With the capital hike of EUROINS AD, EIG has also finalized its plan for capitalizing all of its insurance subsidiaries in line with the requirements laid down in the Solvency II Directive.
Joanna TZONEVA, Executive Director of EUROINS AD, commented: "By doubling the capital the value of the company's SCR ratio exceeds by far the legal requirements for this indicator laid down in the euro directive. The capital hike also provides a solid foundation for a healthy and sustainable growth of our business."