Grupa Azoty to issue 33.7 million shares to Polish State Treasury

Grupa Azoty has approved an extraordinary general meeting resolution to issue up to 33.7 million Series E shares through a private subscription directed exclusively to the Polish State Treasury. The agreement for the subscription of these new securities must be concluded within six months of the resolution, by March 22 of next year.

If the offer is fully subscribed, the State Treasury's stake in the company will increase but will not exceed 50 percent. CEO Marcin Celejewski stated that this recapitalization is a vital component of the group's ongoing recovery process, alongside the planned sale of Grupa Azoty Polyolefins to Orlen and the pursuit of long-term restructuring agreements with financial institutions.

The funds raised from the share issuance are intended primarily for the modernization and development of the group to enhance its competitiveness. The company also noted a reduction in net losses during the first half of the year, falling to approximately 594 million PLN from 878 million PLN in the previous year.