OREANDA-NEWS. September 25, 2007. Ukrainian metal producer Dneprometiz, based in the eastern Dnipropetrovsk region, plans to raise its share capital by 60.53 mln Ukrainian hryvnias ($12.08 mln/8.64 mln euro) to 83.48 mln hryvnias ($16.7 mln/11.9 mln euro) via a share issue, the company said. The issue of common registered shares with a nominal value of 68.08 hryvnias ($13.6/9.7 euro) each is subject to approval by the company shareholders' meeting, scheduled for November 9, 2007.

Dneprometiz will hold the subscription in two stages, from January 21 to February 4, and from February 5 to 7, 2008.

The metal producer will use the raised funds to improve its financial stability and to ensure its future development.

Dneprometiz raised its net profit by 50.9 pct year-on-year to 11.3 mln hryvnias ($2.25/1.6 mln euro) in 2006.

Its pre-tax profit rose by 39.3 pct to 15.7 mln hryvnias ($3.1 mln/2.2 mln euro), and net sales revenue grew by 59.2 pct to 345.7 mln hryvnias ($69 mln/49.4 mln euro) in 2006 against a year earlier.

In February 2006, Russian Severstal-Metiz acquired a stake of 60 pct plus one share in the Ukrainian company.

Currently, Severstal-Metiz controls a 60 pct share in Dneprometiz via its Cyprus-based subsidiary Potren Ltd, and Teko-Dneprometiz owns 34.6 pct in the company.