The Shareholders’ Assembly of the Novi Sad Razvojna Banka Vojvodine – RBV (Development Bank of Vojvodina) made the decision on Friday, December 3, on recapitalization, but with certain chances in the suggested decision.
Although the decision that the buyer of shares of RBV be the Development Fund of AP Vojvodina has remained unchanged, the Assembly decided to issue both common and preferred shares. In that way, the first issue will comprise 54,000 common shares with the nominal value of RSD 5,500, while the second issue will include 309,636 preferred shares with the nominal value of RSD 5,500. The issued preferred shares can be converted into common shares starting from January 1, 2012.
The initial proposal envisaged the issuance of 363,636 common shares at the price of RSD 5,500 (35.4% of new shares), while the adopted decision represents a milder version that favors the current minor shareholders. Upon the completed recapitalization, the capital of RBV (including both common and preferred shares) will amount to 7.65 billion dinars.
This week’s recapitalization is the second big increase of the capital of this banking institution.
The first one took place in mid-2009 when 688,100 shares were issued in the situation when the bank was operating under the forced management of the NBS following the big liquidity crisis and the announced loss of 5.1 billion dinars in 2008. In the process of nationalization of then Metals Banka, the Executive Council of AP Vojvodina bought 636,000 shares (92.4% of the issue), while DDOR purchased 52,100 shares (7.6% of the issue) at the price of 5,500 dinars per share.
On the last day of September, the assets of this Novi Sad-based bank amounted to 36.6 billion dinars and its market share in the domestic banking system was 1.5%.
Source Ekapija.com
