Armenian Inecobank announces 1ts issue of coupon bonds for 2.7bln drams

YEREVAN, April 6. /ARKA/. Inecobank closed joint stock company announced the first issue of its registered coupon non-documentary discount investment bonds for 2.7bln Drams.

The bank’s website reports that a total of 54,000 bonds are to be issued in tranches, with nominal value of each bond 50,000 Drams. Of the total number, 37,000 bonds are to be placed as discount bonds with a redemption period of 365 days, with 17,000 ones being coupon bonds with circulation period of 18 months.

The bonds are inconvertible, says the report.

The placement of the first tranche of the bonds (7,000 bonds for 350mln Drams) started on March and is to be completed on April 27 2009, with annual yield at 9.5%. The bond retirement date is March 25, 2010. “Capital Asset Management” company is the underwriter f the issue.

Inecobank’s bonds were issued in cooperation with USAID. The U.S. Government presented by the USAID guarantees up to 50% of the risks in favor of bond holders.

Inecobank closed joint stock company was registered on February 7 1996. In December 1997 the bank became the first bank in Armenia extending credits for consumer goods.

Among the stockholders of Inecobank are member of KfW group DEG company (Deutsche Investititions-und Entwicklunsgesellschaft mbH) with 13.5% and the International Financial Corporation with 10%. The bank is cooperating with the EBRD, USAID, KfW, the Black Sea Trade and Development Bank and other international organizations.

The bank’s assets had totaled 44.3bln Drams as of the end of December 2008 with total capital being 8.4bln Drams. The authorized stock of the bank is 1.4bln Drams, the credit investments – 15.2bln Drams and the net profit 1.6bln Drams in January-December 2008. ($1=370.58Drams).  –0--