The Slovenia Times

Govt Confirms Second Part of Capital Injection for Abanka

Nekategorizirano


The state already provided a recapitalisation of EUR 348m at Abanka last December following bank stress tests that led to the bailout and renationalisation of the top three banks. The second injection will be provided in the form of state bonds amounting to EUR 243m.

The government moreover confirmed the list of Abanka's bad loans to be transferred to the Bank Asset Management Company (BAMC), which will be coupled with a state guarantee of up to EUR 448.6m.

Representatives of BAMC, at which bad claim transfers were finalised this spring for the NLB and NKBM banks, told the press today that everything was ready for the Abanka transfer, which should be completed by January next year.

In line with the restructuring plan for Abanka, okayed by the European Commission, claims of up to EUR 446m in transaction value or EUR 1.09bn in gross accounting value are to transferred onto the bad bank.

Slovenia has moreover committed to continue with efforts for the merger of Abanka and Banka Celje, a small bank which faces a government bailout unless it finds a private investor.

Banka Celje announced Thursday it had signed a non-disclosure agreement with a potential investor who wants to carry out due diligence.

Abanka posted a group net profit of EUR 547,000 in the first half of 2014 after still recording a EUR 19.53m loss in the same period last year.

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