At the 19th Extraordinary Shareholders’ Meeting of the Institute “Dr Simo Milošević”, a decision was made to issue additional shares for recapitalization. The majority shareholder, the state, along with significant shareholder Vile Oliva, and potentially a third investor, will inject capital into the company to cover outstanding debts of approximately €21 million.
Executive Director Dr. Zoran Kovačević, who chaired the meeting, explained that the recapitalization is the only viable method to address the Institute’s overdue financial obligations, particularly those related to state and Vile Oliva commitments under the restructuring plan.
The funds will primarily be used to settle arrears with the Tax Administration for employee contributions, local municipal taxes, and debts to utilities such as water, sanitation, and electricity, including around €2 million owed to EPCG. Kovačević expects the recapitalization proceeds to be received by the end of 2025 or early January 2026, enabling the Institute to operate more smoothly in the upcoming year.
Petar Rakčević, representing a minority shareholder, emphasized that the recapitalization, totaling €23.5 million through a public share offering, will allow the Institute to clear all overdue obligations and become fully operational, marking a significant step in the implementation of the restructuring plan.
The share issue will be considered successful if 90.08% of the total 152,066 shares are sold, with the state and Vile Oliva contributing €14 million and €7 million, respectively.
