NKBM subordinated bond

Location:

Slovenia

Project number:

50882

Business sector:

Financial institutions

Notice type:

Private

Environmental category:

FI

Target board date:

18 Sep 2019

Status:

Signed

PSD disclosed:

03 Oct 2019

Translated version of this PSD: Slovenian

Project Description

Participation of up to EUR 50 million in a private unlisted Tier 2 subordinated bond issued by Nova Kreditna Banka Maribor d.d. ("NKBM"), a joint stock company established in Slovenia.

Project Objectives

The Project supports (i) the Bank's Green Economy Transition ("GET") approach in Slovenia via NKBM allocating all EBRD funds towards funding certified commercial and residential projects, as well as renewable energy and energy efficient projects which meet the GET eligibility criteria and (ii) capital optimization of a systemic financial institution in Slovenia, in light of its winning of the privatisation process of Abanka and its further organic expansion.

Transition Impact

Contribution to the Green and Resilient qualities through (i) allocating all EBRD funds towards funding projects which meet the Bank's Green Energy Transition ("GET") eligibility criteria and (ii) strengthening the bank's capital adequacy as well as building up of the bank's MREL-eligible funding base.

Client Information

NOVA KREDITNA BANKA MARIBOR DD

is the second largest Slovenian bank holding ~14% of total banking assets in the country. NKBM provides universal banking services and operates through a network of 50 branches in Slovenia and employs ~ 1,300 employees.

EBRD Finance Summary

EUR 50,000,000.00

Total Project Cost

EUR 90,400,000.00

Environmental and Social Summary

Categorised FI (ESP 2014). NKBM is an existing client and is in compliance with the Bank's PR9, PR2 and the relevant sections of PR4 within the 2014 Environmental and Social Policy; as well as the relevant EBRD E&S Procedures for lending/transactions across the entire portfolio. Given the proposed investment, the client will be required to continue to adhere to these requirements, and to continue to provide annual reporting to the Bank for review.

Technical Cooperation

None.

Company Contact Information

Romana Muraus
+386 2 229 2286
www.nkbm.si

Business opportunities

For business opportunities or procurement, contact the client company.

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