JSC ‘Delta Bank’ plans to issue additional shares for the total amount of UAH 317 million
July 8, 2010
According to Shareholders’ decision, made in June 2010, JSC “Delta Bank” plans to issue additional shares for the total amount of UAH 317 million. The new shares issued under the private placement are intended to be purchased by the current owner of the Bank, N. I. Lagun and, via partial conversion of subordinated debt to Delta Bank, Cargill Financial Services International, a wholly owned subsidiary company of Cargill Inc.
After the share placement is completed, Cargill’s share of the statutory fund of the bank is expected to be a material but still minority interest of Delta Bank. The total amount of the statutory fund will reach UAH 827 million.
The attraction of addition capital is intended to assist in the implementation of the bank’s new strategy, the core idea of which is the development of a universal banking platform, in particular entering new retail segments and corporate business expansion.
In the opinion of bank shareholders and management, with Cargill being one of the major providers of Ukrainian private sector financing and its continued commitment to the Ukrainian agricultural business sector, it’s investment in the bank’s capital will also serve as a positive signal for other potential international investors into Ukraine.