Korean Development Bank buys out EBRD’s share in Uzbek-Korean UzKDBbank

Business Materials 17 December 2012 13:54 (UTC +04:00)

Uzbekistan, Tashkent, Dec. 17 /Trend D.Azizov/

The Korean Development Bank (KDB, South Korea) has bought out the share of the European Bank for Reconstruction and Development (EBRD) in the Uzbek-Korean UzKDBbank, a representative in UzKDBbank told Trend on Monday.

The agency interlocutor said that the KDB, the main shareholder of the bank which owned 61 per cent of the shares of the Uzbek-Korean bank, bought out 27.8 per cent stake of the EBRD and brought its shareholding of authorised capital to 88.9 per cent.

The shares of other UzKDBbank shareholders - Uzbek National Bank for Foreign Economic Activity and the Turon bank are unchanged and remain at 5.6 per cent.

The UzKDBbank (up till February 2006 - UzDEUbank) was established in 1997. The main activity of the bank is to render financial services to Korean companies operating in Uzbekistan. South Korean Daewoo Securities owned around 61 per cent of its share capital.

In February 2006, KDB bought out Daewoo Securities' share, after which the bank was renamed into UzKDBbank. KDB manages the bank.

As of 2011, the bank's assets calculated on the International Financial Reporting Standards (IFRS) rose by 2.4 times - up to 749.94 billion soums, the loan portfolio by four per cent (up to 65.88 billion soums). The aggregate capital of the bank increased by 27.3 per cent up to 60.905 billion soums, including share capital, calculated by market value, increased last year by 2.6 times - up to 25.136 billion soums.

Net income for 2011 amounted to 13.077 billion soums compared to 8.422 billion soums in the previous year (an increase of 55.3 per cent).

The Royal Bank of Scotland N.V. reached an agreement for the sale of its 82.35 per cent shareholding in RBS NB Uzbekistan to the Korea Development Bank (KDB) in Dec. KDB plans to merge RBS Uzbekistan with the UzKDB Bank to create the largest foreign bank in the republic.

Official exchange rate on Dec. 17 is 1.976.44 soum/$1.