Nova Kreditna Banka Maribor increases Credy Banka's capital by EUR 5 million

Nova Kreditna Banka Maribor (NKBM), majority owner of Kragujevac-based Credy Banka, has finished the new recapitalization of that bank, worth EUR 5 million, with the nominal value of RSD 5,370 per share, that bank said in a release today.

NKBM has so far invested EUR 25 million in the bank in Kragujevac, thus acquiring a majority stake of 76.6 percent in that bank, the release reads.

NKBM completed the first recapitalization in March 2010 when it signed an agreement with the state and paid EUR 10 million for a 55.1% stake in the bank.

On that occasion, representatives of NKBM announced that the capital of the Kragujevac-based bank would be increased by additional EUR 30 million within the next five years, whereas the bank is expected to start making profits as of 2012.

Credy Banka achieved positive results in the first quarter of this year and turned a profit of RSD 3 million. With the assets of RSD 11 billion at the end of March, the bank's market share amounted to 0.45 percent.

Commenting on the bank's performance in Serbia, Chairman of the NKBM Managing Board Matjaz Kovacic assessed that Credy Banka was slowly becoming a true partner in the development of the economy and the offer of quality banking products for the population.

NKBM had positive results in the first six months of 2011 and registered the revenue before taxation of EUR 7 million, which is 50.1 percent of the projected annual revenue. The bank's net profit amounted to EUR 5.6 million.