ARARATBANK SIGNS AGREEMENT WITH EBRD ON CAPITAL INCREASE

PanARMENIAN.Net
May 14, 2010 - 19:39 AMT 14:39 GMT

The European Bank for Reconstruction and Development (EBRD) and
Araratbank OJSC signed an agreement on the bank's capital increase
through EBRD's new subscription to the bank's shares at the amount
of AMD 225mln or $600,000. The share of EBRD will remain unchanged,
totaling 25% + 1 share, the press service of Araratbank reported.

The capital increase will provide Araratbank with the opportunity to
diversify its portfolio of loan investments and expand the clients'
base through servicing large and medium clients, as well as expanding
the branch network.

"The capital increase will allow ARARATBANK to maintain its ranking
in the banking system," said EBRD Managing Director for Financial
Institutions Nick Tesseyman.

In his turn, CEO of Araratbank Ashot Osipyan highly appreciated the
bank's cooperation with the EBRD. "EBRD is a guarantee of introduction
and implementation of modern banking and financial technologies and
best international practice," said Osipyan.