The Development Bank of Austria OeEB subscribed for hybrid capital of ProCredit Holding on 15 December 2008, for a volume of 10 Mio. Euro.
The total proceeds from the transaction will be used to finance the prospective growth of the ProCredit Group. The ProCredit group consists of 22 fast-growing banks operating in transition economies and developing countries in Eastern Europe, Latin America and Africa.
Business model of ProCredit
The core business of the Group is the provision of credit and other banking services to micro, small and medium-sized enterprises and lower and middle income savers who have previously had limited access to formal financial services. The business model of ProCredit is based on a form of socially responsible banking that seeks to be transparent, efficient and profitable on a sustainable basis.
Figures of ProCredit Group
As of 30 June 2008 the outstanding loan volume amounts to 3.2 bn. Euro. More than 93% of the outstanding loans were for amounts of less than 10,000 Euro, and over 50% were for amounts of less than 1,000 Euro. The group employs more than 19,000 people in more than 700 branches worldwide.
Notice
This notice is only intended to inform about the described investment by OeEB and does in particular not constitute a public offer for the acquisition of securities. OeEB will not make a public offer or a public placement, especially not to US persons.