The FINANCIAL — Raiffeisen Zentralbank Osterreich AG (RZB) will launch its capital increase, which has been decided by RZB's Supervisory Board a few weeks ago. According Up to 265,035 new shares will be issued at 600 euros per share and an exchange ratio of 21:1. This corresponds to an increase of the nominal capital of up to 19.26 million euros or 4.76 per cent to a maximum of 423.72 million euros. A full subscription would result in a capital increase of 159 million euros.
"RZB's rapid growth as well as its outstanding results over the past years proves that we are on the right track. This growth is based on a strong financial basis, which now gets strengthened even further. The capital increase therefore contributes to RZB's successful development", said RZB's CEO Walter Rothensteiner. He also emphasized that the capital increase strengthened RZB's status as the only globally acting local bank in full Austrian ownership.
"Compared with year-end 2006, RZB's total own funds have increased by 5.5 per cent to 8,035 million euros on 30 June 2007. The group showed an excess-cover ratio of 26.7 per cent at 30 June. The own-funds ratio amounted to 10.1 per cent, the core-capital ratio to 8.1 per cent. In total, RZB therefore shows a healthy capital base sufficient for its medium-term plans.
RZB's strong roots in Austria are also reflected in its ratings: Standard & Poor's assigned to RZB a long-term rating of and A+ and A(1) for the short-term, Moody's rated RZB Aa2 and P(1)”, bank reports.
Raiffeisen Zentralbank Osterreich AG (RZB) is the central institution of the Austrian Raiffeisen Banking Group, the country's largest banking group. It is a leading corporate and investment bank in Austria and also considers Central and Eastern Europe (CEE) as its home market. RZB is the only Austrian bank with a global network of business units reaching all important finance centres around the globe. It is also present in Asia via its branches and representative offices.
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