OREANDA-NEWS. March 31, 2008. The meeting of shareholders of OAO “Yenakiyevo Steel Works” (Ukrainian abbreviation EMZ) made the decision to increase the Charter Fund of the Company by UAH2,743 million by means of additional issue of shares, reported the press-centre of SCM.

A slight increase in the Charter Fund of EMZ and of some other companies of Metinvest Group is carried out within the framework of completion of one more stage of SCM mining and metal business restructuring process. The changes in the companies’ charter fund are connected with the increase in the number of Metinvest Group companies as the result of recent transactions.

The increase in the Charter Fund is to be made by means of additional cash contributions through close (private) placement of 179,896 ordinary registered shares of the nominal value UAH15,25 each in the documentary form; the total nominal value of shares being UAH 2,743,414.

The private placement of shares of OAO “Yenakiyevo Steel Works” consists of two stages: the first one – from 12/05/2008 through 26/05/2008 and the second one – from 27/05/2008 through 28/05/2008.

Within the first stage of placement of shares the shareholders will exercise the pre-emptive right for purchasing the shares offered for private placement; the number of shares being in pro rata proportion to the shareholders’ interests in the Charter Fund as of the date of the first stage of placement of shares.

Within the second stage the shares will be placed with the existing shareholders of OAO “EMZ”; the amount of shares being equal to the outstanding amount of the first stage of placement of shares.

The projected volume of EMZ shares under placement cannot be exceeded. The increase is to take place only after full payment of the issues of additional shares and after the registration of the new edition of the Charter.

All the shareholders of OAO EMZ have equal pre-emptive rights for purchasing the shares under the close (private) placement. Private placement of shares is exclusively for the shareholders of the company.