Moscow-based International Investment Bank (IIB), a regional development bank in which Romania is a shareholder, has hired local brokerage firm BT Capital Partners and lender BCR to prepare a new bond issue on the Bucharest Stock Exchange.

The bonds will have a medium maturity and will be issued in local currency RON or euro. The bank plans to use the money to consolidate and expand its operations in Romania.

IIB has already placed two bond issues on the Bucharest Stock Exchange in 2015 and 2016 raising a total of RON 411 million (some EUR 90 million).

The bank has financed several local companies in recent years. Its loans to local companies totaled EUR 56.6 million at the end of June this year, according to the bank’s half-year report. This figure represented 16.5% of the bank’s total loan portfolio.

Russia holds almost 48% of the IIB shares, other significant shareholders being Bulgaria (13.5%), Hungary (12.8%), Czech Republic (9.7%), Slovakia (6.9%), and Romania (5.9%).

editor@romania-insider.com