Baku, Azerbaijan, Jan. 16
By Sara Israfilbayova - Trend:
In 2019, Azerbaijan's PASHA Holding may implement capital injections in the form of subordinated debt of up to 27 million manats (roughly $16 million) in PASHA Yatirim Bankasi, Trend reports referring to the international rating agency Standard & Poor's (S&P).
PASHA Yatirim Bankasi is a subsidiary of PASHA Bank, which, in turn, is owned by PASHA Holding.
"We believe that PASHA Holding is still ready to provide capital support to the bank if necessary. In 2018, the holding made direct injections into the capital in the amount of 253 million Turkish liras (roughly $46 million) into PASHA Yatirim Bankasi, the Turkish subsidiary of PASHA Bank. The shareholder also provided the bank with subordinated debt in the amount of $11 million with a maturity period of five years," the report said.
In this case, the shareholder will continue to distribute 60 percent of consolidated net income in the next two years.
PASHA Bank entered the Turkish market in 2015 after acquiring a 79.9 percent stake in TAIB Bank [which was renamed PASHA Yatirim Bankasi]. Presently, the shareholding structure of the bank is as follows: PASHA Bank - 50.96 percent, PASHA Holding - 49 percent, other shareholders - 0.04 percent.
PASHA Bank has been operating in Azerbaijan since 2007.
PASHA Bank renders a range of corporate banking services, including issuance of loans, operations in the securities market, assets management, and treasury services.
Presently, PASHA Bank has a subsidiary in Georgia.
---
Follow the author on Twitter: @IsrafilbekovaS