Croatian Post Bank Capitalized with 550 Million Kuna

The recapitalization of Croatian Post Bank (HPB) worth 550 million kuna has been successfully completed, as in the second round the state subscribed and paid for 406,814 new shares valued at 244.1 million kuna.

In the first round of recapitalization, which lasted from September 17 to 21, private investors contributed 305.9 million kuna, and in the second round, which lasted from September 25 to 28, the state contributed 244.1 million kuna. This cumulatively amounts to nearly 550 million kuna, of which 55.6 percent was subscribed and paid by private investors, thus meeting the criteria for the success of the issuance, as announced by HPB via the Zagreb Stock Exchange.

The new shares were subscribed and paid at a unique final price of 600 kuna per share.

After private investors contributed 305.9 million kuna in the first round of recapitalization, the Croatian Government decided at last week’s session that the state would participate in increasing the HPB’s equity capital in the second round of subscription and payment of new shares, with 245 million kuna.

The HPB General Assembly decided in mid-September on a simplified reduction of the bank’s equity capital to cover last year’s losses and on recapitalization up to 550 million kuna through a public offering of new ordinary shares.

The Bank’s equity capital will be increased by issuing 916,666 new ordinary shares registered in the name, each with a nominal value of 600 kuna. Thus, the Bank’s equity capital will be increased by the amount of 550 million kuna, from 664.77 million kuna to 1.2 billion kuna.

After the registration of the reduction and increase of the equity capital in the court register of the Commercial Court in Zagreb, HPB’s equity capital will amount to 1.2 billion kuna and will be divided into 2,024,625 ordinary shares registered in the name, each with a nominal value of 600 kuna, as stated in HPB’s announcement.