The shareholders of construction and real estate company Empresas Socovesa, controlled by the Gras family, approved the $32.8 billion capital increase proposed by the board, which seeks to strengthen the financial position amid the complicated scenario the company is going through.
The new 225,000,000 shares must be issued, subscribed, and paid within a maximum period ending on October 8, 2029, and will be offered preferentially to current shareholders.
Additionally, at the shareholders' meeting it was agreed to empower Socovesa's board to request the registration of the new shares representing the capital increase in the Securities Registry of the Commission for the Financial Market (CMF), set their placement price, and proceed with it.
Use of proceeds
When the capital increase proposal was announced, on September 22, César Barros, general manager of Empresas Socovesa, explained that "this will allow us to secure the necessary resources to begin the works that are part of the company's strategic plan and, at the same time, accelerate the start of sales of real estate projects in those locations where we are observing an improvement in market conditions. This is also a reflection of an auspicious moment for Empresas Socovesa, where we have managed to organize the financial structure, reduce debt, and fulfill the semester's commercial plan, maintaining discipline with the qu…
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PulseWith this operation, the company With this, they will seek to strengthen their capital structure and secure resources to begin construction works. CommentsThe shareholders of the construction and real estate company Empresas Socovesa, controlled by the Gras family, approved the $32.8 billion capital increase proposed by the board of directors, which seeks to strengthen the financial position amid the difficult situation the company is going through. The new 225,000,000 shares must be issued, subscribed, and paid within a maximum period ending on October 8, 2029, and will be offered on a preferential basis to current shareholders. Additionally, at the shareholders' meeting it was agreed to empower Socovesa's board of directors to request the registration of the new shares representing the capital increase in the Securities Registry of the Commission for the Financial Market (CMF), set their placement price, and proceed with it. Use of fundsWhen the capital increase proposal was announced, on September 22, César Barros, general manager of Empresas Socovesa, explained that "this will allow us to secure the necessary resources to begin the works that are part of the company's strategic plan and, at the same time, accelerate the start of sales of real estate projects in those locations where we are observing an improvement in market conditions. This is also a reflection of an auspicious moment for Empresas Socovesa, where we have managed to organize the financial structure, reduce debt, and fulfill the semester's commercial plan, maintaining the discipline with which we have been working." Barros added that "the capital increase reflects the confidence and commitment of our shareholders and the board of directors to Empresas Socovesa, to our projects, and to the future of the company. At the same time, it gives us important backing to strongly drive the management and sale of projects and to take advantage of the opportunities that this new scenario is beginning to offer our industry." This, considering all the measures the government is promoting to reactivate construction, such as the extension of the rate subsidy, and the changes to the General Ordinance of Urban Planning and Construction (Oguc). More about:SocovesaReal estate companiesEmpresas SocovesaCapital increaseNEWSLETTERPulso PMMonday to Friday, 12:30 PMThe most relevant news on markets, companies, and business: timely information, context, and content to make better decisions. By subscribing, you are accepting the Terms and Conditions and Privacy Policies of La Tercera.