PBK EQUITY INVESTMENT

Location:

Slovak Republic

Project number:

4465

Business sector:

Financial institutions

Notice type:

Private

Environmental category:

FI

Approval date:

16 Dec 1997

Status:

Completed

PSD disclosed:

14 Nov 1997

 

Project Description

The project consists of a subscription to newly issued PBK shares. Following this investment of SK 340 million (ECU 9.1 million), the EBRD will own about 20 per cent of PBK's capital and voting rights.

The project aims to strengthen the capital base of a regional bank in the Slovak Republic. This will allow it to take full advantage of future growth opportunities in the market place and to support its on-lending activity to private sector companies of prime credit quality.

Transition Impact

The project will increase competitive pressure in the Slovak banking sector and is likely to contribute to innovation of services and products and to improve the service provided to customers. An indirect contribution to the transformation of the local economy will result from the on-lending to local enterprises on the basis of criteria and standards which are of international quality levels.

The Client

Priemyselná banka a.s. Košice (PBK) was established in December 1991 by the Confederation of Industry of the Slovak Republic and started its operations in 1992. Its head office is located in Košice, the second-largest industrial city in the country. Since its establishment, PBK has focused its activities on providing corporate banking services, in particular short and medium-term loans to its local clients. PBK's main objective is to become the leading private medium-sized bank in the central eastern part of the Slovak Republic.

EBRD Finance

The EBRD will subscribe to newly issued ordinary shares of PBK. Following the investment of SK 340 million (ECU 9.1 million), the EBRD will own about 20 per cent of the capital and voting rights of PBK.

Project Cost

The total project cost is SK 340 million (ECU 9.1 million).

Environmental Impact

The project has been classified as FI and therefore does not require an Environmental Analysis or an Environmental Audit. PBK has already developed and adopted, in the conduct of its business activities, environmental procedures in accordance with the Bank's Environmental Guidelines for Financial Intermediaries.

Technical Cooperation

None.

Company Contact

 

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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