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CENTRAL BANK OF ARMENIA REGISTERS ISSUE PROSPECTUS OF ARARATBANK'S SHARES
2007-12-11 22:38:00
ArmInfo. The Central Bank of Armenia (CBA) registered the issue
prospectus of the Araratbank CJSC's shares. The CBA press-service told
ArmInfo that this decision was taken at the CBA Council's session,
Tuesday.
To note, on August 3, 2007, the Council of the bank made a decision
on restructuring the Araratbank's status from CJSC into OJSC. In this
connection, a decision was taken to split up a share worth 500 thsd
AMD into 100 shares worth 5 thsd AMD. The stock split aimed to provide
investors with an opportunity to participate in the capital, as well as
to attract minority shareholders. Araratbank intends to start direct
public offers (DPO) with the new issue of shares. The program on DPO
as an initial stage and then on IPO, which will be possible in case
of development of an organized stock exchange market in the country,
stipulates 3 year period of gradual (by 10-15% annually) decrease of
the capital contribution of "Flesh" company, which is currently the
only shareholder of the bank. According to ArmInfo's data, direct
subscription of the bank's shares will be organized at the central
office and all branches of the bank. Information on term and parameters
of the new issue of shares will be presented in the near future.
To note, the bank started developing a special program on consolidating
the institution for protection of minority shareholders' interests,
and its main items are fixed in the new regulations of the bank.
According to the Ranking of Commercial Banks of Armenia by the Agency
of Rating Marketing Information (ArmInfo), as of October 1, 2007,
the total capital of the Araratbank made up 4.5 bln AMD $13.5 mln),
having increased by 18% in Jan-Sep, and by 60% as compared with
the same period of 2006. The growth of the total capital in 2007
was connected with replenishment of the authorized fund by holding
the 6th and 7th closed issues of shares worth 200 mln AMD each in
the second and third quarters. The shares were bought by the "Flesh"
company. Thus, in Jan-Sep 2007, the bank's authorized capital increased
from 3.240 bln AMD to 3.640 bln AMD. The net profit totalled 224.8 mln
AMD in Jan-Sep 2007. As of October 1, 2007, the National Rating Agency
AmRating, a member of the international group of rating companies
GlobalRating, took into account the high rates and positive dynamics
of Araratbank's development and raised its credit rating from 'B-'
to 'B+' (with stable outlook).
2007-12-11 22:38:00
ArmInfo. The Central Bank of Armenia (CBA) registered the issue
prospectus of the Araratbank CJSC's shares. The CBA press-service told
ArmInfo that this decision was taken at the CBA Council's session,
Tuesday.
To note, on August 3, 2007, the Council of the bank made a decision
on restructuring the Araratbank's status from CJSC into OJSC. In this
connection, a decision was taken to split up a share worth 500 thsd
AMD into 100 shares worth 5 thsd AMD. The stock split aimed to provide
investors with an opportunity to participate in the capital, as well as
to attract minority shareholders. Araratbank intends to start direct
public offers (DPO) with the new issue of shares. The program on DPO
as an initial stage and then on IPO, which will be possible in case
of development of an organized stock exchange market in the country,
stipulates 3 year period of gradual (by 10-15% annually) decrease of
the capital contribution of "Flesh" company, which is currently the
only shareholder of the bank. According to ArmInfo's data, direct
subscription of the bank's shares will be organized at the central
office and all branches of the bank. Information on term and parameters
of the new issue of shares will be presented in the near future.
To note, the bank started developing a special program on consolidating
the institution for protection of minority shareholders' interests,
and its main items are fixed in the new regulations of the bank.
According to the Ranking of Commercial Banks of Armenia by the Agency
of Rating Marketing Information (ArmInfo), as of October 1, 2007,
the total capital of the Araratbank made up 4.5 bln AMD $13.5 mln),
having increased by 18% in Jan-Sep, and by 60% as compared with
the same period of 2006. The growth of the total capital in 2007
was connected with replenishment of the authorized fund by holding
the 6th and 7th closed issues of shares worth 200 mln AMD each in
the second and third quarters. The shares were bought by the "Flesh"
company. Thus, in Jan-Sep 2007, the bank's authorized capital increased
from 3.240 bln AMD to 3.640 bln AMD. The net profit totalled 224.8 mln
AMD in Jan-Sep 2007. As of October 1, 2007, the National Rating Agency
AmRating, a member of the international group of rating companies
GlobalRating, took into account the high rates and positive dynamics
of Araratbank's development and raised its credit rating from 'B-'
to 'B+' (with stable outlook).