Joining forces in furniture – KATHIMERINI Newspaper

The listed companies “Varagis ABEPE” and “Dromeas ABEA” have decided to join forces in order to establish a common export front and take advantage of economies of scale in the production sector, at a time when economic conditions encourage consolidation. Thus, Varangis will be the exclusive representative of Dromeas office furniture in the United Arab Emirates, Oman, and Qatar until the end of 2012. Having built its presence in the rapidly growing markets of the Middle East through the undertaking of professional projects, Varangis is in a position to promote the products of the northern Greek company. In addition, the memorandum of cooperation signed between the two companies emphasizes the production sector, in which Dromeas has invested significantly. In this context, the group will produce furniture and objects designed by Varangis and well-known foreign designers under the Varangis brand, which will be directed exclusively to foreign markets. Meanwhile, the share capital increase through cash payment and preemptive rights in favor of existing shareholders will be the subject of the extraordinary general meeting of Varangis ABEPE on October 18, 2010, at the company’s offices. The extraordinary general meeting will discuss the reduction of the company’s share capital, with a reduction in the nominal value of its shares from €0.62 to €0.30 each, as well as the amendment of Article. Furthermore, the memorandum of cooperation signed between the two parties emphasizes the manufacturing sector, in which Dromeas has invested significantly. In this context, the group will produce furniture and objects designed by Varangis and well-known foreign designers under the Varangis brand, which will be directed exclusively to foreign markets. Meanwhile, the share capital increase through cash payment and preemptive rights in favor of existing shareholders will be the subject of the extraordinary general meeting of Varangis ABEPE on October 18, 2010, at the company’s offices. The extraordinary general meeting will discuss the reduction of the company’s share capital, with a reduction in the nominal value of its shares from €0.62 to €0.30 each, as well as the amendment of Article 5 of its Articles of Association, as a result of the above decisions. Varagis is stepping up its efforts to contain costs and strengthen its liquidity, with a particular focus on boosting exports.