Demirbank Azerbaijan Equity Investment

Location:

Azerbaijan

Project number:

35808

Business sector:

Financial institutions

Notice type:

Private

Environmental category:

FI

Approval date:

15 Nov 2005

Status:

Disbursing

PSD disclosed:

12 Oct 2005

Project Description

The proposed project is to participate in the planned capital increase by subscription to newly issued shares of Azerdemiryolbank. The project will enable Azerdemiryolbank to strengthen its capital base and will allow further growth of the bank to maintain its leading market position.

 

Transition Impact

The project will have high transition impact. In particular it will help Azerdemiryolbank to maintain its market position and more importantly support its growth and development going forward. This in turn will fuel competition in the banking sector, improve standards of business conduct.

The Client

Azerdemiryolbank, an open joint-stock company, is one of the leading private banking institutions in the Republic of Azerbaijan, majority owned by private individuals. EBRD is a 25% plus one share shareholder in Azerdemiryolbank.

EBRD Finance

Equity investment through acquisition of newly issued shares of Azerdemiryolbank to maintain its shareholding in the Bank.

Project Cost

Approximately USD 1.6 million.

Environmental Impact

Azerdemiryolbank will be required to carry out its operations in accordance with EBRD's Environmental Procedures for Local Banks. In implementing these procedures, the bank will require its borrowers to comply, at a minimum, with national and/or local health, safety, environmental and public consultation requirements.

Technical Cooperation

Azerdemiryolbank has been benefiting from an Institutional Building programme, provided under the original equity investment and sponsored by ETC Multi-Donor Initiative Fund.

Company Contact

Mr. Shahin Y. Mirzoyev, Deputy Chairman of the Management Board
Tel: +994 12 444 7283

 

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

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