JSC "Football Club "Dynamo Kyiv" will increase its charter capital 173 times - from UAH 1 million to UAH 173 million by issuing an additional share emission with the aim of improving the club's material and financial base.
This decision was made by the shareholders' meeting on Thursday, the club's press service reported on Friday.
"The emission allows... attracting new funds for the development of the club's infrastructure, because it is good, but not fully perfected, and today we need to spend several tens of millions of dollars to reach a state close to ideal. And for this, a large free cash mass must appear," commented President Ihor Surkis on this decision in an interview with the weekly "2000" on Friday.
According to him, the club's monthly expenses, whose employees number over 1 thousand people, amount to UAH 3.15 million.
"What profit can we be talking about if today 1,500 children study with us for free?" said Surkis, refuting claims that the club engages in activities other than sports - commercial ones.
He also reported plans to soon begin an expensive reconstruction of the "Dynamo" stadium, in which Oleksandr Omelchenko will help the club.
"Our main expenses are operation, construction and reconstruction of new club infrastructure facilities," said First Vice-President of the JSC Vitaliy Sivkov.
According to him, the emission is necessary to replenish funds for the maintenance of teams and infrastructure. In this connection, he reported that during the stadium reconstruction it is planned to build a canopy over the spectator seats and modernize the office building.
"This reconstruction is an order of magnitude higher than those carried out before. It requires a different financial approach, a different financial philosophy," added Sivkov.
He noted that the club's main revenues are funds from sponsors and founders. "There are also our own, but in the general array of receipts they constitute about 25 percent and are formed mainly at the expense of the main football team - bonuses from UEFA for participation in European cups and ticket sales," stated the first vice-president.
Surkis reported that he owns 20% of "Dynamo" shares. According to the official reference cited by "2000", the club's other shareholders are Valentyn Zghursky - 12%, the Physical Culture and Sports Society "Dynamo" (Kyiv) - 10%, Soccer Marketing International Ltd (London, Great Britain) - 31%, Hambey Trading Corporation (British Virgin Islands) - 9%.
Another 18% of shares belong to the company Pacific International Sport Clubs Ltd (Mauritius), which "2000" calls a structure of businessman Kostiantyn Hryhorishyn.
Surkis emphasized that all current co-owners of the club can buy shares in proportion to their equity participation.