Business news from Ukraine

PRIVATBANK BECOMES FULLY STATE-OWNED BANK – DEPOSIT GUARANTEE FUND

22 December , 2016  

KYIV. Dec 22 (Interfax-Ukraine) – The Individuals Deposit Guarantee Fund and the Finance Ministry of Ukraine on December 21 signed an agreement to sell 100% of shares in PrivatBank, the press service of the fund has reported.

“Since the moment of the transfer the state is the owner of 100% of shares in the bank in the person of the Finance Ministry. This was made thanks to coordinated actions of the Finance Ministry, National Bank of Ukraine (NBU), Deposit Guarantee Fund, National Commission for Securities and the Stock Market, National Depository of Ukraine, Ukrgasbank and Ukreximbank,” the fund said on its Facebook page.

All the required procedures were settled within 72 hours: reserves for active transactions have been formed, additional shares have been issued and placed, amendments to the bank’s regulations have been made, the transition balance has been formed and all the procedures for selling the shares and reshuffle the owners of the bank have been finished.

“PrivatBank’s capital is negative. According to the law on the individuals deposit guarantee system, the Deposit Guarantee Fund sold all the shares of the bank to the Finance Ministry for UAH 1,” the fund said.

In general, it took two days to buy ownership rights to the shares of PrivatBank since the start of the procedure for removing the bank from the market.