Share Button

Translated by Ollie Richardson & Angelina Siard

15:39:34
08/05/2017

politnavigator.net


Privatbank announced that it will sign a contract with a consortium of international companies led by Rothschild & Co concerning negotiations on restructuring debts of the former owners of the bank.

This was reported by the press service of financial establishment.

“On April 13th, 2017, the supervisory board of Privatbank chose a consortium of companies containing part of Rothschild & Co, Ernst & Young, and Finpoint as the winner of the competition of the internationally-recognized company to conduct restructuring negotiations, introduce additional provisions and recovery of cost of the problem loans, other loans, and obligations on financial leasing provided to the former final beneficiaries of Privatbank or persons who are directly or indirectly connected with the former beneficiaries of the bank for maximizing the quality of such a credit portfolio,” it is said in the message.

“Taking into account the obligations of final beneficial owners of the bank (the letter from December 16th, 2016) and proceeding from the need of ensuring stability of the financial system and protection of the rights and interests of investors, the government of Ukraine made on December 18th, 2016, the decision on the entry of the State into the capital of Privatbank according to which the state represented by the Ministry of Finance of Ukraine became the owner of 100% of actions, and Privatbank was additionally capitalized with the sum of 116.8 billion UAH,” it is said in the message.

According to the Memorandum of economic and financial policy between Ukraine and the IMF, the government of Ukraine until the end of April, 2017, undertook the appointing of an internationally-recognized company for the holding of negotiation about the restructuring, introduction of additional provisions, and recovery of cost of the problem loans and loans granted to the former final beneficiaries of Privatbank and the related persons for the minimization of expenses of the State.

Earlier, the vice-chairman of the National Bank of Ukraine Katerina Rozhkova said how 16 billion UAH was withdrawn from Privatbank before nationalization. It was also reported that on April 26th, 2017, the international rating agency Standard & Poor’s raised the credit ratings of Privatbank from SD to CCC+/C. As the agency reported on its official site, the forecast for ratings of the bank is stable.

As a reminder, the Privat group of Igor Kolomoisky was the former final beneficiary of Privatbank before its nationalization.

Share Button

Copyright © 2017 СТАЛКЕР/ZONE. All Rights Reserved.