Raiffeisen Bank Aval Plans Drawing USD 1 Billion in External Financing in 2007

30. März 2007, 00:00

Ukraines second-largest bank, Raiffeisen Bank Aval, said this year it will seek USD 1 billion in external financing,...

Ukraines second-largest bank, Raiffeisen Bank Aval, said this year it will seek USD 1 billion in external financing, head of the banks financial institutions relations department, Viktoria Masna, told reporters on Thursday.

Most financing will come through syndicated loans, Masna added. The procedure for the first loan of the kind, in the value of USD 150 million, has been completed. The official did not rule out an increase in the loans value due to the higher level interest.

"Well close the bid book on Monday or Tuesday. The signing [of an agreement] will take place sometime around the end of April," she said.

Plans for next year include the issue of Eurobonds and they will be used to securitise the banks mortgage portfolio.

"We have received permission from Vienna [to issue Eurobonds in 2008] for a minimal amount of USD 200-300 million. We will take part in the securitisation of a minimum of USD 300-350 million of the mortgage portfolio," she said.

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