Public Property Agency of Moldova puts up to public sale 63.8-per cent block of stocks of commercial bank at Stock Exchange

Chisinau, 13 March /MOLDPRES/ - The Public Property Agency (APP) has informed that it was putting up to public sale a single block of 63.89 per cent of stocks of Moldindconbank on the regulated market of the Stock Exchange. The public sale will be held on 18-20 March, according to a press release issued by APP today.     

The initial selling price is of 240.74 lei for one share and the value of the transaction amounts to 764.05 million lei. The block of stocks due to be tendered  includes 3,173, 751 ordinary nominative shares of the first class, issued by Moldindconbank.   

"The shares put to sale can be bought only by the people who got preliminary written permission of the National Bank of Moldova (BNM), in line with the provisions of the Law No 202/2017 on banks’ work,” the Public Property Agency said.   

On 18 February, APP, in the name of the government, purchased 63.89 per cent of the newly issued stocks of Moldindconbank at Moldova’s Stock Exchange, in order to sell them subsequently. Equal conditions of participation in the tender and of sale are provided both to the potential buyer, signatory of the Pre-contract and to other potential buyers, which have preliminary approval by BNM.     

So far, only a Bulgarian investor, Doverie-Invest, has received permission on behalf of the National Bank of Moldova in this respect. Representatives of the Bulgarian company said that the latest developments in the Moldovan banking system had prompted them to come up with investments in Moldova. The Public Property Agency, in the name of Moldova’s cabinet, and the company from Bulgaria, on 13 February signed the Pre-contract on the buying of shares newly issued by Moldindconbank.   

Moldindconbank is a systemic bank, the second biggest one on the local market, with a share of 23.2 per cent of private people’s deposits in the banking system and with a number of about 604,000 depositors private persons. At the same time, Moldindconbank is positioned as leader of the banking system according to the number of cards in circulation on the local market, with a quota of 37.8 per cent. Also, this bank exercises a great influence on the national economy in terms of financing most economic sectors, as well as through it significant role (second position) as regards the volume of ordinary and treasury payments.    

On 20 October 2016, BNM blocked a group of Moldindconbank shareholders, who were acting jointly through an earlier acquisition and holding a substantial quota in the bank’s registered share capital – 63.89 per cent, without the preliminary written permission by BNM, thus infringing the provisions of the law on financial institutions. Following the cancellation of the suspended shares, new shares were issued, in line with the law on the capital market. These new shares were not evaluated by a famous international company and were put to sale at the exchange, but they were not demanded.