Azerbaijan's Kovsarbank Launches Capitalization Activity

Baku, Azerbaijan, July 31



By Ilaha Mammadli - Trend:



The State Committee for Securities registered the issue of "Kovsarbank" JSC shares in the total amount of 38 million AZN.



Some 190,000 shares at par value of 200 AZN were issued within the framework of emission, according to the state committee. The placement will be conducted by the method of mass sale.



The placement of emission will increase the bank's capital up to the minimum requirements of the Central Bank of Azerbaijan to total capital in the amount of 50 million AZN.



The license of Kovsarbank JSC was restored in early April. The bank's license was liquidated in late 2010 regarding non-compliance with the CBA requirement on minimum total capital, violation of the requirements of banking legislation, including non-observance of the management's activity in a safe and prudential manner.



The license of this bank has been revoked twice. First, in 2001, due to a mismatch with prudential norms CBA License of Kovsar Bank has been revoked, however, through the courts the bank reached recovery.



Kovsar Bank JSC was founded in 1989 as Universal Bank. Kovsar Bank operates in accordance with Islamic banking principles.



Official exchange rate on July 31 is 0.7842 AZN / USD.



Edited by CN