Kreditprombank announces debt restructuring details

Kreditprombank confirmed in a website statement yesterday the prolongation of USD 400 mln in foreign debt, supported by more than 99% of its international creditors. Of these liabilities, USD 100 mln is to be converted into equity as soon as the deal is complete, giving more than 20 major international financial entities stakes in Kreditprombank. On top of that, the current owners agreed to invest an additional USD 60 mln into the bank’s charter fund at a shareholder meeting on February 23 and to convert USD 30 mln of subordinated debt into equity. Current shareholders are set to retain 51% of the bank. Kreditprombank’s largest shareholder is Cyprus businessman Papunidis Konstantinos, who currently controls 79.28% of the bank directly and via related structures. Kreditprombank was Ukraine’s #18 largest bank by assets as of January 1, according to statistics from the National Bank of Ukraine.