"Finance" (Moscow), 010 - May 5, 2003

Analysts from Aton Capital confirmed their recommendation "to buy" for common shares of OAO RosBusinessConsulting.

RosBusinessConsulting anno1unced recently that it planned to increase the number of its outstanding shares from 20 to 25 percent in the next year or two. After the company's IPO, when it floated 16 percent of shares in April 2002, the number of its outstanding shares increased by 4 percent, which happened mostly due to the conversion of RosBusinessConsulting's bonds. The company announced that an increase in the number of outstanding shares would be achieved through the conversion of the remaining bonds and the sale of some shares by the company's top managers. So far, RosBusinessConsulting is not planning to issue new shares. Currently, more than 50 percent of the company's bonds have already been converted into shares. The whole issue of bonds for $5m can be converted into about 7 percent of the company's shares. "We estimate a possible increase in liquidity of shares without risks of dilution in shareholder's stakes as positive news and, therefore, confirm our recommendation," Aton Capital's analytical review says.