43 / 140
There are agreements among the main shareholders that guarantee the Parent’s
shareholder stability, the grant of mutual rights of acquisition on their shares, the
undertaking not to take control of the Parent or to permit a third party to do so, and also
include Group management agreements, as described in the consolidated directors’
report.
For management purposes, the Group treats the equity attributable to the Parent as
capital. The only external requirements to which this capital for management purposes is
subject are those contained in current Spanish corporate law, and there are no other
legal restrictions thereon.
For management purposes, the quantitative capital data relating to 2015 and 2014 is
presented in the consolidated balance sheet and amounts to EUR 485,660 thousand and
EUR 449,336 thousand, respectively.
No qualitative or quantitative changes took place in relation to the management of
capital in 2015 in comparison to 2014. The change in capital in 2015 did not arise as a
result of external requirements, but basically as a result of the purchase of treasury
shares of the Parent, the cancellation of instruments recognised in equity as a result of
the agreement described in Note 11-e, and the payment of dividends to the shareholders
described in Note 11-f to these consolidated financial statements.
The Group determines the financial resources required with the two-fold objective of
ensuring the Group companies’ capacity to continue operating and maximising
profitability by optimising Group debt and equity. The Group’s financial structure taken
as a whole consists of the equity attributable to the Parent’s shareholders (comprising
share capital, share premium, retained earnings and other items), bank borrowings and
cash and cash equivalents. The Group reviews this structure regularly and, taking into
account the costs and risks associated with each type of funding (debt or equity), takes
the appropriate decisions to achieve the aforementioned objectives.
b)
Share premium
As indicated in Note 11-a to the consolidated financial statements, the difference
between the issue price and the par value of the new shares (i.e. EUR 2.62 per share) is
treated as a share premium amounting to EUR 38,304 thousand, which was fully paid as
a result of the transfer en bloc of the assets and liabilities of Gestora de Inversiones
Audiovisuales La Sexta, S.A.
c)
Restricted reserves
Legal reserve
Under the Spanish Limited Liability Companies Law, the Company must transfer 10% of
net profit for each year to the legal reserve until the balance of this reserve reaches at
least 20% of the share capital.
The legal reserve can be used to increase capital provided that the remaining reserve
balance does not fall below 10% of the increased share capital amount. Otherwise, until
the legal reserve exceeds 20% of share capital, it can only be used to offset losses,
provided that sufficient other reserves are not available for this purpose.
The shareholders at the Annual General Meeting of the Parent held on 24 April 2013
approved, among other resolutions, the proposed distribution of the profit for 2012,
whereby EUR 2,193 thousand were transferred to the legal reserve. With this
contribution the Parent’s legal reserve reached the legally stipulated level.