The capital injection was endorsed at Monday's session of the supervisory board at which the state replaced six of the eight members.

The EUR 243m in bonds was pumped into the bank after the state provided EUR 348m in cash already in December of last year.

The rescue of Slovenia's third-largest bank also includes the transfer of EUR 446m of bad loans to the Bank Asset Management Agency (BAMC).

In return for the aid, the bank has committed to comprehensive restructuring, a plan for which it must submit to the European Commission by the end of the year.

As part of restructuring, Abanka is to be merged with the smaller state-owned Banka Celje. The supervisory board reviewed the merger proceedings at today's session, but did not provide additional details.

The session saw six new supervisors assume posts, as the state assumed full control of the bank. Only the current chair Janko Gedrih and his deputy Andrej Slapar were retained on the board.

As in the case of the previous bailouts at the two biggest state-owned banks, NLB and NKBM, all previous shares were erased and subordinate debt written-off.