IFC To Probably Become Partial Guarantor Of Second-Issue Bonds Of Ar

IFC TO PROBABLY BECOME PARTIAL GUARANTOR OF SECOND-ISSUE BONDS OF ARDSHININVESTBANK

ArmInfo
2009-06-11 17:28:00

ArmInfo. The International Financial Corporation (IFC) will
probably become a partial guarantor of the second-issue bonds of
Ardshininvestbank. As deputy Chairman of Ardshininvestbank’s Board
Sergey Virabyan told ArmInfo, the negotiations with IFC on this
subject started even in 2008, directly after successful placement
of the bank’s first-issue bonds. However, in view of the crisis and
unstable situation in Armenia’s money market, the negotiations were
put off for 2009, he said.

As S. Virabyan said, emission of the bank’s second-issue debt
securities is scheduled in the second half year 2009. He thinks the
money demand and necessity in credit resources is growing in Armenia,
transactions by clients become more active and, as a result, the
situation in the debt market of Armenia is improving as well. According
to the data of Ardshininvestbank, the bank’s first-issue bonds in
the volume of 1.5 bln drams, 10% profitability per annum and 1-year
maturity were issued on December 5, 2008, while they have been on
Cbond exchange list since December 22, 2008.

According to NASDAQ OMX Armenia data, the dealing in debt securities of
Ardshininvestbank at the Exchange over the whole circulation period,
from December 22 to June 11, 2009 inclusive, made up 683.9 mln drams,
about 60 transactions were carried with an average weighted annualized
return of 12,7919%.

To note, Ardshininvestbank enters the ten of the leading banks by
the volume of investments in government bonds, having assured this
indicator as of April 1, 2009 at the level of 4 bln drams or 6,25%
of the total volume of the banks’ investments in government bonds.

To recall, the International Financial Corporation (IFC) is one
of the majority shareholders of Ardshininvestbank with 10% capital
contribution.

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