One of Uzbekistan’s largest banks increases authorized capital by 75 percent
Uzbekistan, Tashkent, July 23 / Trend, D. Azizov /
The Open Joint Stock Commercial Agrobank, which is included in the top five banks in Uzbekistan, increased its authorized capital by 74.6 percent - up to 220.3 billion soums, Agrobank told Trend on Tuesday.
A representative of the bank said that the capital was increased as a result of the additional issue of shares worth 94.1 billion soums. The bank issued 81.826 million shares of common shares in June 2013. The shares were placed upon the closed subscription among the bank's shareholders.
It was previously reported that in early 2012, the bank started placing an additional issue worth 113.799 billion soums, planning to increase its authorized capital by 1.9 times - up to 240 billion soums.
It was planned to place 98.55 million ordinary shares with a nominal 1,150 soums each. At least 25 percent of securities of the total volume of the additional issue was planned to be placed through the "Tashkent" Republican Stock Exchange.
The Uzbek president adopted the resolution in May 2013. The authorized capital of the bank is planned to be brought to 250 billion soums in 2013-2014 by issuing additional shares worth 123.8 billion soums. An additional emission is planed to be placed amongst the six major shareholders of the bank.
In particular, the securities of the current additional emission were purchased by the ministry of finance (31.7 percent), Uzhlopkoprom enterprise (30.7 percent), foreign trade companies under the Ministry of Foreign Economic Relations, Investment and Trade (12.8 percent), Uzhimprom (12.2 percent) and Uzhleboprodukt (11.1 percent), Uzagrosugurta public joint stock insurance company (1.5 percent).
The authorized capital of the bank is currently 220.301 billion soums. It consists of more than 191.066 million ordinary and 500,000 preferred shares with a par value of 1,150 soums each.
Agrobank was formed from Pakhtabank in March 2009 upon a decree of the Uzbek president. The main objectives of the bank are loans and complex banking services rendered to enterprises dealing with agricultural production, including cotton and grain processing enterprises.
Agrobank's largest shareholders are the Finance Ministry and the Uzbek Reconstruction and Development Fund. Their joint share in the authorized capital is more than 50 percent.
The bank has 185 branches, 468 mini-banks, 189 special cash desks, 274 currency exchange offices in all of the country's regions. The bank serves nearly 270,000 legal and over a million physical entities.
Uzbek Agrobank's assets audited in accordance with International Financial Reporting Standards increased by 19.8 percent or by 1.914 trillion soums.
In particular, the bank's loan portfolio increased by 20.6 percent - up to 1.268 trillion soums. The bank's equity as of late 2012 amounted to 248.303 billion soums, increasing by 30.3 percent per year.
Agrobank earned net profit worth 16.629 billion soums (an increase of 14.5 times).
The official exchange rate is 2.104.62 soums/$1 on July 24.