Baku, Azerbaijan, June 2
By Azad Hasanli - Trend:
A subsidiary of Azerbaijani PASHA Bank in Georgia - PASHA Bank Georgia acted as a guarantor of FINCA Bank Georgia's bond issue worth 20 million lari, Financial online resourse reported June 1.
This is the first transaction in such a large amount, concluded in Georgia without the participation of the large international financial institution.
According to the agreement, FINCA Bank Georgia will issue the bonds in the amount of 200 pieces worth 100,000 lari each. The period of circulation will be three years with every six month interest repayment. The yield of bonds is 10.1 percent.
"PASHA Bank has rich experience in rendering the market making services for bonds issued in Azerbaijan," PASHA Bank Georgia Director General Shahin Mammadov said. "We are actively working in this direction in Georgia. We believe that the Georgian stock market has great potential. We will try to develop this market by using our experience."
He said that the bank is also actively negotiating with other participants of the Georgian market in connection with the bond issuance.
"The proceeds obtained from the bond issue are planned to be used to expand financing of small and medium businesses in Georgia," FINCA Bank Georgia Executive Director Vusal Verdiyev said.
PashaBank Georgia started its activity in February 2013.
PashaBank was established in June 2007. It operates under license No 250 of Central Bank of Azerbaijan (CBA) dated November 28, 2007. The main objectives of the bank are the strengthening of leadership in the segment of corporate customer service, high-quality business growth in the priority areas identified by the strategy, and the creation and continued development of long-term and trusting relationships.
PashaBank, along with Pasha Insurance, Pasha Life, Pasha Travel and Pasha Construction, is part of the Pasha Holding, which is actually an investment company, rather than a classic holding company. The structure of Pasha Group also includes Kapital Bank, where the holding company owns 99.75 percent of the shares.
The official exchange rate of the Georgian National Bank is 2.3112 GEL/USD as of June 2.
Edited by CN
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