F&C Bank plans 15% share capital increase

Finance & Credit Bank (FICBUA) plans a 15% share capital increase, according to Interfax yesterday. The bank will sell new shares at par to raise UAH 300 mln (USD 38 mln). The capital injection implies a 17% increase in equity from the end-1H12 level. The bank badly needs new capital as its current CAR of 10.3% is only marginally above the NBU minimum of 10.0%. Yet, the credibility of the capital increase plans is low – the bank announced a 7.5% capital increase in March 2012 but failed to realize this intention.