OTP Ukraine subordinated debt II



Project number:


Business sector:

Financial institutions

Notice type:


Environmental category:


Approval date:

06 May 2015



PSD disclosed:

18 Mar 2015

Translated version of this PSD: Ukrainian

Project Description

The EBRD is considering an extension for up to 7 years of the existing US$ 65 million subordinated debt to JSC OTP Bank Ukraine (the “bank”, “OTPU”). The project is part of a broader recapitalisation plan developed by OTP Hungary (the “parent”) for its Ukrainian subsidiary, which addresses challenges faced by the bank as a result of the severely deteriorated economic and political situation in the country.

Transition Impact

This transaction will support a private, foreign-owned player, capable of withstanding the crisis while continuing to implement and promote sound banking principles and best international practices. Combined with the parent’s recapitalisation efforts, the transaction will sustain the bank’s operations in the current challenging environment, sending a strong demonstration signal to the market.

The Client

JSC OTP Bank Ukraine is a 100 per cent subsidiary of OTP Bank Plc., Hungary. OTPU is a universal commercial bank with country-wide presence, specialising in servicing middle-sizedcorporates and consumer finance. OTPU was the 15th largest bank in Ukraine with 1.6 per cent share of total banking assets as of the end of 2014. OTP Bank Plc. is a leading Hungarian financial group with ca. 21 per cent market share in total assets.

EBRD Finance

Subordinated loan in the amount of up to US$ 65 million.

Project Cost

US$ 65 million.

Environmental and social categorisation, impact, and mitigation

Categorised FI. OTPU will be required to comply with EBRD's Performance Requirements 2 Labour and Working Conditions, PR 4 Community Health, Safety and Security and PR 9 Financial Intermediaries, implement the Bank's E&S Procedures for Corporate Loans and submit Annual Environmental and Social reports to the Bank.

Technical Cooperation


Company Contact

Mr. Taras Prots
Member of the Board
Tel: + 380 44 490 05 86
Fax: + 380 44 490 05 36

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

Share this page: