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Ukraine's Finance Ministry has issued government domestic loan bonds worth UAH 22.5 billion, or $0.87 billion, to swap them for shares of nationalized PrivatBank, according to the ministry's press service.
"The third stage of PrivatBank's additional capitalization is over. The third stage of the additional capitalization was conducted through an issue of government domestic loan bonds worth UAH 22.5 billion in exchange for the bank's shares," it said.
Read alsoKolomoisky comments on negotiations on PrivatBank debt restructuringAs UNIAN reported earlier, Ukraine's Cabinet on December 18, 2016, decided to nationalize the country's No. 1 bank, Dnipro-based PrivatBank, as was recommended by the National Security and Defense Council.
To conduct PrivatBank's additional capitalization, the government issued government domestic loan bonds worth UAH 117 billion. In particular, securities worth UAH 25.8 billion were bought out by the National Bank of Ukraine late in December, another portion worth UAH 1.4 billion was bought in January 2017.
In June 2017, the Cabinet decided on further capitalization of PrivatBank to the tune of UAH 38.5 billion in two phases. The first one is worth UAH 22.5 billion. The securities will be in circulation for up to 17 years. Their interest rate will be up to 9.8% per annum.