Credit Bank of Moscow - Equity Investment

Location:

Russia

Project number:

43260

Business sector:

Financial institutions

Notice type:

Private

Environmental category:

FI

Approval date:

29 May 2012

Status:

Disbursing

PSD disclosed:

23 Apr 2012

Translated version of this PSD: Russian

Project Description

Equity investment for 7.5% stake and voting rights in Credit Bank of Moscow (CBM), an existing partner bank of EBRD in Russia. The investment will be made via subscription to newly issued ordinary shares.

The investment will support further development of one of the larger and most dynamic Russian private banks and will enable it to achieve its business and corporate governance objectives.

Transition Impact

The project aims to achieve the following objectives:

  • support a dynamic private bank in Russia to capitalise on its successful recent growth and implement its strategy to become one of the leading universal private banks;
  • strengthen CBM’s capital platform for further business growth;
  • contribute to CBM’s further institutional strengthening and corporate governance;
  • assist CBM to carry out anticipated IPO, thus achieving positive demonstration effect.

The Client

CBM is a universal bank operating in Moscow and Moscow region with a focus on private mid-sized corporate clients and increasing retail operations. It has been one of the fastest growing banks in Russia since 2008 having moved from the 60th to 21st position among Russia’s largest banks.

EBRD Finance

Equity: 7.5% of capital and voting rights after completion.

Environmental Impact

Categorised FI.

CBM is compliant with the EBRD's Performance Requirements for Financial Institutions (PR2 and PR9). CBM received Environment and Social Due Diligence training from the EBRD in 2010. The bank has a written environmental policy and procedures, has adopted the joint EBRD/IFC Exclusion and Referral List, requires compliance with national Environment, Health and Social requirements and provides satisfactory annual reports to the Bank.

CBM will be required to continue its compliance with EBRD requirements, adopt and implement EBRD E&S Procedures for Corporate Lending and submit annual environmental and social reports to EBRD.

Technical Cooperation

None.

Company Contact

Pavel Voronov, Director, International Business and FI Division

E-mail: voronov@mkb.ru

Tel: +7 (495) 797 4222

 

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

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out how to submit a Request for review through our confidential online form, by email, mail or telephone. IPAM is available to discuss your concerns and answer any questions you may have about the submission or handling of Requests, which follow the Project Accountability Policy and Guidance. Requestors’ identities may be kept confidential, upon request.

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