East Capital to Acquire 10% in Pivdenny Bank
29 January 2008
Interfax reported that investment fund East Capital will acquire a 9.98% stake in Pivdenny Bank, Ukraine’s 20th largest bank by assets, through participation in an additional share issue. According to East Capital, the volume of the deal is USD 79 mln (EUR 54 mln). The transaction requires the approval of the National Bank of Ukraine. Based on the bank’s post-emission book value of about USD 215 mln, the acquisition would be valued at P/B of 3.7x, which looks like a reasonable price, in line with current valuations of other traded Ukrainian banks.
