EBRD TO PROVIDE 6 MILLION DOLLAR CREDIT TO ARARATBANK
YEREVAN, JANUARY 18, NOYAN TAPAN. Araratbank and the European Bank for
Reconstruction and Development (EBRD) on January 18 signed two
agreements, according to which the EBRD will provide a 6 million-dollar
credit to Araratbank. The executive director of Araratbank Ashot
Osipian said that 5 million dollars will be allocated for crediting
small amd medium business in Armenia. Economic entities will receive
credits at 14-16% interest rates with a repayment period of 5 years.
The remaining sum – 1 million dollars will be spent on promotion of
international commercial deals in the country.
According to A. Osipian, the indicated agreements will allow the
Armenian bank to expand considerably its activities in the long-term
crediting sector, including in marzes.
A. Osipian said that on December 17, 2007. Araratbank started a direct
public sale (for first time in Armenia) of 76.3 thousand shares of the
total amount of 450 million drams. In his words, the supply of shares
has exceeded the demand by about 65%. The placement of shares finished
on December 28, 2007 instead of the envisaged date – January 15, 2008.
A. Osipian stated that as a result of share placement, the bank will
have 84 shareholders, the biggest of which is Flash company. A number
of institutional investors of the bank have formed thanks to placement.
The bank intends to carry out a regular issue of bonds in the spring
and to issue shares several times in 2008.
Araratbank provides services to more than 15 thousand natural persons.
It has 14 branches. As of December 31, 2007, the bank’s overall capital
amounted to 4.6 bln drams (over 14.8 mln USD), assets – to 27.7 bln
drams, liabilities – 23.1 bln drams, and net profit – 315.7 mln drams.
From: Emil Lazarian | Ararat NewsPress
