Romanian private bank Carpatica Comercial Bank (BCC) could fuse by absorption with Nextebank, owned by Emerging Europe Accession Fund, an investment fund managed by Horia Manda through Axxess Capital. The terms will be discussed by BCC shareholders on December 19.
Lender’s directorship, controlled by businessman Ilie Carabulea, convened the shareholders to approve the terms and main conditions of the reviewed tender that Nextebank forwarded it on November 14.
Carpatica’s shareholders will also be asked to delegate to the management board the authority to increase the bank’s capital with up to RON 155 million, by one or more issues of new ordinary shares within a one-year period.
Private bank recorded EUR 4.9 million losses in the first nine months of this year due to higher provisions for non-performing loans (NPLs).
“The risk provisions and the more conservative valuation policy have significantly affected the net result,” said Johan Gabriels, CEO of Carpatica Bank, after financial results were released. “In our view, 2014 is not a good year to increase our risk appetite in order to counterbalance the declining revenues from out historical loan portfolio,” he added at that time.
The bank’s founder and majority shareholder Ilie Carabulea was arrested in January this year for alleged bribery and influence peddling related to his insurance business, Carpatica Asig.