YEREVAN, April 21. / ARKA /. ArmSwissbank has announced today the third issue of foreign currency denominated bonds worth $5 million to be placed on the 27th of April at NASDAQ OMX Armenia stock exchange. The news was announced by CEO of the bank Gevorg Machanyan The third tranche, includes 5000 five-year nominal coupon bonds with 8.5% yield. The face value of a bond is $1000.
Machanyan said the three issues will allow investors to diversify their resources with 3, 4 or 5-year bonds. He said the bank plans to use the proceeds to replenish the investment portfolio and credit resources.
According to him, ArmSwissbank considers the issue of bonds as an alternative to deposits to attract resources and plans steps to increase the yield of bonds.
“In the future we plan to select a market-maker and offer the bonds at the secondary market,’ said Machanyan.
Earlier on April 16, the bank placed the first and the second issues of foreign currency denominated bonds, worth $2 and $3 million respectively.
The first tranche of bonds included 2,000 coupon bonds (SWISB1) with coupon rate of 7.5% and maturity period of 3 years while the second tranche of bonds included 3,000 coupon bonds (SWISB2) with coupon rate of 8.0% and maturity period of 4 years. The nominal value of the bonds for both tranches is USD 1,000. Both issues were successfully placed.
ArmSwissbank was established on October 7, 2004 as a closed joint stock company and on February 25, 2005 was granted banking license by the Central Bank of Armenia. The Bank’s shareholders are Vardan Sirmakes, CEO, founder and 100% owner of “Frank Muller Watchland” company and BELEGGINGSMAATSCHAPPIJ JONGO B.V., owning 80% and 20% of the Bank’s shares, accordingly.
ArmSwissbank works in two main directions: corporate and investment using private banking techniques.
At the end of March 2015 the bank’s assets totaled 74.2 billion drams; liabilities were worth 56.6 billion drams; total capital – 17.6 billion drams; credit investments – 35 billion drams. In the first quarter of 2015 it earned 362.4 million drams in net profit. ($ 1 – 473.18 drams).M.V.- 0-
