OREANDA-NEWS. On July 12, 2007 one year on after its first syndicated loan, Aizkraukles Banka (AB.LV) signed an agreement for its third syndicated loan to the amount of EUR 125 million, reported the press-centre of Aizkraukles Banka.

Aizkraukles Banka appeared in international markets first in mid-2006, when it raised a double amount instead of EUR 25 million (planned). The Bank repeated its success story in February 2007, when the transaction amount reached already EUR 85 million.

Syndicated loan on especially favourable conditions
As with the earlier loans, the loan agreement dated 12 July will be valid for one year with possible extension for another period. In its turn, the loan margin has lowered by 35 basis points against the first transaction and is 60 basis points above 3M Euribor for this loan.

Bank’s stable activities stir up lenders’ interest
Ernests Bernis, chairman of the board and co-owner of Aizkraukles Banka, said: "It is the third time now that Aizkraukles Banka has proved to its partners, customers and competitors that the Bank’s stable activities and excellent performance ensure lenders’ interest in Latvia and the banking sector of this country. Banks with local capital attract lenders in international markets, because risk undertaking enables us to develop partnership in other areas for out mutual benefit too".

Aizkraukles Banka authorised three European banks to organise the transaction: Bayern LB, DZ Bank AG and Raiffeisen Zentralbank Oesterreich AG. 21 banks participated in the transaction. It should be noted that more and more banks choose to bring in larger amounts for the loan. HSH Nordbank (with its representative office opened in Latvia some time ago) and Magyar Takarekszovetkezeti Bank Zrt., Hungary, are among our major lenders.

Successful beginning of 2007 for Aizkraukles Banka
Aizkraukles Banka began 2007 with success. Over the first six months, its non-audited profit reached EUR 21.3 million, while the Bank’s assets exceeded EUR 1.28 billion, and it ranked seventh among Latvian banks.

AB.LV is a local bank
Aizkraukles Banka is 100% Latvian owned and carries on its activities both in Latvia and in the international market, offering a wide range of financial services to its customers.