Kyiv-based Khreschatyk Bank is planning to its boost charter capital by Hr 200 million or by 24.1% in 2012, to Hr 1.029 billion, through an additional issue of shares, Khreschatyk Bank Board Chairman Dmytro Hrydzhuk has said.
"The additional capitalization of the bank for 2012 is planned at Hr 200 million," he told Interfax-Ukraine.
As reported, the bank’s shareholders at a general meeting on Oct. 31, 2011 decided to increase the bank’s charter capital by Hr 99.967 million or by 13.72%, to Hr 828.83 million.
The bank is privately placing additionally issued shares from Dec. 29, 2011 to January 18, 2012.
The banker said that the bank’s shares could be attractive to potential investors and they are listed on the market at a price higher than their face value.
"I cannot comment on the issue of the bank’s sale, as this is in the competence of the shareholders. The bank is interesting to investors now, as it is a well-capitalized and stable bank. Now and then the bank has offers from potential investors on the possible acquisition of the bank," Hrydzhuk said.
The banker also said that the decision of Kyiv City Council to approve a credit agreement with Oschadbank to raise a three-year Hr 350 million credit using a municipal stake in Khreschatyk Bank as collateral was evidence of the good market value of the bank’s shares (the total nominal sum of the stake belonging to Kyiv city is Hr 182.216 million, while the shares secure a Hr 350 million credit).
Commenting on the bank’s development plans for 2012, Hrydzhuk said that this year the bank is intending to increase total assets by 10%.
The bank’s credit portfolio could expand proportionally to the total asset growth and reach Hr 4.9 billion by late 2012.
The banker also said that profit from operations in 2012 could reach some Hr 70 million and net profit – some Hr 40 million.
In 2011, the bank could post losses due to the changes in the procedure for the calculation of collateral for some credits from January 1, 2012.
Speaking about the bank’s program on the optimization of its regional chain, Hrydzhuk said that this year some departments could change their location, but their total number would not considerably change.
"We’re planning to retain the present regional chain, but some department could change their location. In addition, if our clients require an increase in the number of outlets, we’ll open new ones, of course, taking into account the economic practicability," he said.
By early 2012, the bank’s regional chain included 152 departments.
Hrydzhuk said that last year four departments were opened, and the bank finished a switch to a two-level management system: all outlets on the bank’s balance sheet were reorganized into off-balance outlets.
The banker also said that in 2012 the bank is planning to install 100 ATMs, and their total number would reach over 400.
He said that the expansion of the ATM chain is linked to the fact that the bank won a tender to participate in a project on the issue of a Kyiv resident social card.
"In H1, 2012, the bank will issue 80,000 cards under a pilot project," the banker added.
Khreschatyk Bank was founded in 1993. The main financial department of Kyiv City State Administration as of Oct. 1, 2011 owned a 24.8981% stake in the bank, Ukrfinkom 37.4306% and Market Invest Group Ltd. 24.9796%.
According to the National Bank of Ukraine, the bank ranked 28th among the 175 banks operating in Ukraine in terms of total assets (Hr 7.318 billion) as of Oct. 1, 2011.
