EBRD confirms interest to enter capital of Oschadbank
The European Bank for Reconstruction and Development (EBRD) has confirmed its interest to enter the capital of state-owned Oschadbank.
The EBRD believes in Ukrainian and their country, and it is time that the EBRD continues working and takes a stake in Oschadbank, EBRD President Suma Chakrabarti said at a meeting of the National Investment Council in Kyiv on Friday.
He said that the bank's entering the Oschadbank's capital could be a serious driver.
As reported, the Finance Ministry of Ukraine plans to attract minority investment from international financial institutions (IFIs) to state-owned Oschadbank (based in Kyiv) in coming years. It is planned to sell 20% of the bank's shares by late 2020 and bring the bank to an initial public offering (IPO) to place 25% of shares by late 2022.
As reported, the EBRD Board on October 4 decided to provide a facility of up to EUR 50 million under the Trade Facilitation Programme for Oschadbank.
The project is undertaken within a broader effort aimed at facilitating Oschadbank's commercialization and preparation for eventual privatization in the context of the state-owned bank reform program that is developed and being implemented by the government of Ukraine.
This effort will include several stages of financing and Technical Cooperation over a period of up to five years, beginning with the TFP facility and an associated Technical Cooperation Project. The subsequent stages of a broader cooperation in preparation for the privatization are linked to and conditional upon the progress in improvement of corporate governance; commercialization of operations, and operational overhaul of Oschadbank.
Oschadbank was founded in 1991. Its sole owner is the state.