Megabank Close To Attracting EBRD Loan

Megabank (MEGA: BUY) is nearing completion of attracting a USD 20 mln loan from the European Bank of Reconstruction and Development, according to the EBRD website. The credit will provide long-term funding for the development of micro, small and medium size lending to enterprises. Megabank Supervisory Council Chair Viktor Subotin said at the company’s AGM in April that it was negotiating for placement of a syndicated loan by September and that the EBRD was one possible collaborator. Alexander Viktorov: As expected the bank’s foreign borrowings program has started to materialize. The EBRD loan is only the first part of the over USD 80 mln the bank plans to attract this year. The attracted funds will be used to finance the bank’s expansion, in particular, the growth of its retail arm and development of SME financing.