FRANKFURT (dpa-AFX Broker) - A capital increase dragged the shares of Talanx down sharply in pre-market trading on Wednesday. On Tradegate, the insurer's papers lost 5.6 percent to 62.15 euros.

With its capital increase of up to 300 million euros, the MDax group wants to drive up the proportion of its shares in free float and also increase its capital resources for further acquisitions and business growth from its own resources.

In addition, Talanx's majority shareholder HDI, a mutual insurance company, intends to offer its own shares worth up to 100 million euros for purchase, it was reported.

Commenting on the share price losses, a trader pointed out that Talanx had placed 4.88 million new shares at a price of 61.50 euros each, 4.30 euros below the previous day's closing price./ck/mis/zb