Durango to Issue New Shares

Mexican paper producer Durango plans to raise MXP907.3m through a stock sale to existing shareholders. Shareholders have approved a proposal to sell 110.6m units at MXP8.20 each, and have 15 days to exercise the right. It last raised funds in October via a $520m bond issue, and has said it plans to repurchase some of its expensive bond debt in 2008.