Bank Saint Petersburg - Equity Investment

disbursing

Translated version of this PSD: Russian The EBRD’s Board of Directors has approved an equity investment involving the purchase of newly issued ordinary voting shares of BSP representing after subscription around 6.1% of the bank’s capital and voting rights (around 5.0% after conversion of BSP’s existing preference shares in 2013). The project will improve the quality of BSP’s capital by replacing tier-2 subordinated debt with equity and will support the largest and the strongest privately-owned market-player in the region. BSP’s majority shareholders see the major value of attracting the EBRD as an equity investor in the Bank’s potential contribution to strengthening corporate governance and further institutional development. The equity investment will increase t BSP’s ability to provide MSMEs with longer maturity loans. The project aims to improve the competitiveness of BSP and the Russian private banking sector overall vis-à-vis state-owned banks. The EBRD will be able to exercise an effective role in the corporate governance of the bank through its nominee director on the Supervisory Board of BSP. BSP is a listed bank and an existing client of the EBRD that has established a positive track record both before and during the crisis in its home region of the North West Federal District (NWFD) of Russia where it is the largest private bank. At April 1, 2011, BSP was the 16th bank in Russia by assets. As at June 1, 2011, the bank is controlled by management (56.43%), the free float represents 25.54% of the shares and 18.03% belong to significant minorities. Equity investment into newly issued ordinary voting shares of BSP, representing after subscription around 6.1% of capital and voting rights (around 5.0% after conversion of BSP’s existing preference shares in 2013). N/A Categorised FI: BSP is required to comply with EBRD’s Performance Requirements 2 and 9 and implement the EBRD’s Environmental and Social Procedures for Corporate Lending across its entire portfolio. BSP is required to submit annual environment and social reports to the Bank.. None.