Attica Bank announced the full coverage of its share capital increase, amounting to 240 million euros and at the same time expresses its satisfaction for the successful outcome of its efforts. At the same time, through the shareholders’ agreement, it became possible for a strategic investor to enter the Bank, noting that the distribution of the percentages will be known tonight.
The CET1 capital adequacy ratio is now, after the completion of the current share capital increase, at pro forma level and based on the published data of June 30, 2021, at around 11%, significantly above the current minimum levels.
With the completion of the exercise of the pre-emptive rights in favor of the old shareholders in the share capital increase, followed the distribution of the unallocated shares that resulted from this process, following a special meeting of the Board of Directors of the Bank.
Also, through the process of share capital increase and implementation of the shareholders’ agreement, one of the main business goals of Attica Bank was achieved, which was the entry of a strategic investor, thus validating the Bank’s strategy and its capabilities to contributes to the development of the Greek economy, the announcement states and continues: 2022 will be a milestone year for Attica Bank, as the action plan includes the inclusion of bonds (senior notes) of securitizations in the “HERACLES 2” program, as provided the basic terms of the shareholders’ agreement. In this way, the complete consolidation of the Balance Sheet is achieved and supervisory funds are released, which will be channeled for the development of the Bank’s operations and the significant increase of its loan portfolio. At the same time, the agreement between the shareholders of TMEDE, Ellington Solutions SA and HFSF, shields the Bank during the implementation of these actions.
The strengthening of the regulatory capital but also the increased liquidity of the Bank, are the guarantees of the dynamic credit expansion of Attica Bank in the coming years and its repositioning in the Greek and European banking system.
The percentage of HFSF
The Financial Stability Fund announced its reduction of its stake in Attica Bank, from 68.24% to 62.93%. According to the Fund, the HFSF has entered into a basic terms of transaction agreement with TMEDE and the companies Ellington and ES GINI Investments, which describes the general framework of the terms of participation and investment in Attica Bank A.T.E. The basic terms of the transaction will be further specified in the shareholder agreement.
This is the first transaction in which the HFSF enters into a shareholder agreement, acting simultaneously with its institutional role and as a private shareholder. It jointly agreed with private investors the terms concerning the operation and the business plan of the Bank and its implementation.
“By participating in the share capital increase, which was successfully completed, the HFSF contributes catalytically to the sustainable transformation and development of the Bank, as well as to the protection of its investment for the benefit of its shareholder, the Greek State. After the completion of the increase of the HFSF share in the share capital of the Bank will now amount to 62.93% compared to its initial percentage of 68.24%. “shielding the viability of the banking system for the benefit of our national economy”, the fund concludes in its announcement.
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Source From: Capital
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