Today, the shares of the producer of baby foods and gruels Slancho AD from the city of Svishtov (Bulgarian: ) were introduced for trading on Bulgarian Stock Exchange. Issuance price of disposal will be equal to the nominal value of securities of 1 lev, as the market will assess the value of the company, commented Nina Dancheva, a member of the Board of Directors of Slancho AD.

Exactly the fair market valuation of the company is the main objective of listing of Slancho AD BSE. According to the information of Dancheva the majority owner expected to place on the market up to 30% of the capital, or 480 thousand lots in the next four months, depending on the market situation.

The funds from public offering will be reinvested in production. "Our investment program for 2008 is 900 thousand euro, a part of which will be performed with the proceeds from the offering of shares", commented further Dancheva. The direction of the program is to develop new baby foods to improve the appearance of packages and others.

Dancheva said that next year the company may take a capital increase by up to 2 million BGL. "We foresee this to happen this year, but the unfavorable situation forced us to postpone the capital increase for 2009", she mentioned.

To our question how she would comment the increased prices of basic materials needed to produce Slancho Co., Daneva commented that the effects had an adverse effect on the financial performance of the company. "However, we try to keep prices stable for our products for as long as possible. We will increase the prices only in extreme cases", she noted.

Asked by VisitBulgaria, whether they planned to gain some of their necessary materials Dancheva said that the leadership of the company planed to build its own plant for producing dry milk - determinative raw material for Slancho AD products. "This is a serious investment, and we hope to realize it shortly".

She added that in terms of instant baby foods, the company has no competitor in the person of any other Bulgarian producer, but it faces strong competition from foreign companies. We have competition has in oats meals, wheat sticks and baby purees.

The leadership of Slancho PLC intends to take advantage of their geography and to enter the Romanian market. "In November our products participated in an exhibition in Romania, having attracted big interest. At present, we are seeking partners in our northern neighbor", said Dancheva.

Slancho AD's profit for the first quarter was 96 thousand BGL at 225 thousand BGL a year earlier. Net proceeds from sales are adjusted from 914 thousand BGL to 812 thousand BGL. The company expects growth of 15-20% of sales in 2008.