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Unibank secures the largest packaged deal

19 June 2009 09:50 (UTC +04:00)

Baku. Vahab Rzayev â€“ APA-Economics. Unibank Commercial Bank is the first private bank in Azerbaijan to receive the largest financial package from the IFI ever in the history of private banking in the country.

On 16 June, the EBRD Board of Directors decided to make a package deal with Unibank for the amount of $83 mn. This decision was made together with the German investment group DEG (Deutsche Investitions- und Entwicklungsgesellschaft mbH), the Netherlands financial company of development (Â«FMOÂ») and the Austrian Bank of Development (OeEB) to increase the lending capacity of Unibank in the real sector of the Azeri economy.

The funding from the EBRD will equal $42.7 mn including the main debt to equal $18.5 mn. The contributions of DEG, FMO and OeEB will equal USD 14.8 mn, USD 15 mn and USD 10 mn respectively. A part of the funding provided by the overseas shareholders of Unibank will be formalised as investment going into the share capital of Unibank.

Unibank, one of the largest banks in the country, is confidently in the top ten of the local banking sector in terms of its financials. The authorised and total capitals of Unibank equal AZN 30 mn and AZN 75.5 mn respectively. The assets and the loan portfolio of Unibank exceeded AZN 366.7 mn and AZN 267 mn respectively on 1 June 2009. Among the shareholders of Unibank are EBRD (15.15%) and DEG (8.33%).