Головна сторінка
/
Новини
/

VAB Bank shareholders agree on 50% equity capital increase

VAB Bank shareholders agree on 50% equity capital increase

15 September 2010

VAB Bank shareholders, at an EGM on September 9, agreed to further increase equity capital by UAH 550 mln (USD 70 mln), which would constitute a 50% increase from current equity capital (charter fund together with additional paid in capital). Mykyta Mykhaylychenko: Approval of the additional equity injection comes in line with our expectations (see our note on VAB’14 dated August 30). After the injection, VAB’s CAR (capital adequacy ratio) should go up 24%, from the current 15% (other things being equal). Most likely, the injection will also be accompanied by an increase in the stake of Netherlands-based private equity Kardan (now 71%). Since the beginning of September, the price of VAB’14 notes went up 7% and YTM dropped from 19.2% (spread to sovereign of 1,332 bps) to 17% (1,091 bps). We still see VAB’14 notes as a buy opportunity as YTM of 17% is still higher than that of Finance and Credit’14 (a bank with worse financial conditions in our view). The upside price potential of VAB’14 could be another 4%-6% (with a target YTM of 15.0%-15.5%), implying a 250-300 bps spread over FUIB’14.

Останні новини

News

23

02/2022

Separatists may claim entire territories of two Ukrainian regions

Russia has recognized “all fundamental documents” of the self-proclaimed Donetsk and Luhansk People’s Republics (DNR...

News

23

02/2022

U.K. to provide USD 500 mln loan guarantee for Ukraine as IMF mission starts

The British government is going to provide up to USD 500 mln in loan guarantees...

News

23

02/2022

MinFin bond auction receipts jump to UAH 3.5 bln

Ukraine’s Finance Ministry raised UAH 3.3 bln and EUR 7.2 mln (the total equivalent of...