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Wednesday, April 26, 2017

Prominvestbank shareholders vote to issue more stock to raise capital

Prominvestbank shareholders voted last week to increase capital by issuing additional shares.

Vladimir Minin, a member of the bank's Supervisory Board, said that when the economy is sluggish, there's a need for increased capital.

"The economy is going through difficult times, and the quality of service credit deteriorates," Minin said. "The question of capitalization (arises) -- you must create the necessary reserves ... to neutralize the impact of the crisis processes."

The increase in capital aims to curb depreciation of the national currency in Ukraine, the hryvnia. As a result of the vote, the amount of shares in the bank will increase by 57.2 percent, or $311 million, for a total of $853 million.

Prominvestbank is considered a universal commercial bank; it is also one of the leading banks in the country. It serves both corporate and individual clients, with many clients in the mining and manufacturing industries.

Organizations in this story

Promivestbank - Ukraine 12, Shevchenko Lane Kyiv, 01001, Ukraine

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