trending Market Intelligence /marketintelligence/en/news-insights/trending/HrMGhNKVp8QGn2yUg0xa0Q2 content esgSubNav
In This List

Getin Holding secures conditional agreements to off-load Ukrainian units


Insight Weekly: US election scenarios; borrowing costs rise; commercial REIT fears


Street Talk | Episode 100 - KBW CEO offers optimism for bears fearful of bank liquidity, credit


Insight Weekly: Stocks endure more pain; bank branch M&A slows; debt ratios fall


Insight Weekly: Unease roils markets; US likely to slip into recession; firms' cash ratios fall

Getin Holding secures conditional agreements to off-load Ukrainian units

Getin Holding SA signed conditional agreements to sell its 100% stake in Ukrainian unit JSC Idea Bank and a 100% participatory interest in debt collector LLC New Finance Service.

The Idea Bank sale agreement was concluded with Dragon Capital Investments Ltd., Dragon Capital New Ukraine Fund LP and an unnamed individual, as well as Dragon Capital LLC as the broker. The agreement to sell New Finance Service was concluded with Napalor Holdings Ltd., which is controlled by the buyers of Idea Bank Ukraine.

The transactions are subject to regulatory and corporate approvals and are expected to be completed by the end of May 2020, Getin said Dec. 20.

The price for Idea Bank shares will amount to 1.37 billion Ukrainian hryvnia, less the total amount of dividends paid by the bank or New Finance Service to Getin Holding in the period from Jan. 1, 2020, until the completion of the transactions; the total amount of dividends from Idea Bank Ukraine or New Finance Service allocated but unpaid to Getin Holding during the same period; and the 5 million hryvnia payment Getin Holding is set to receive for its 100% participatory interest in New Finance Service.

Getin Holding also concluded a profit sharing agreement with the buyers, under which it will be entitled to receive 100% of Idea Bank and New Finance Service's profits generated from Jan. 1, 2020, until the transactions are finalized, as well as part of the profits generated during the 18 months following completion. Getin will also be entitled to an additional payment if the buyers lose control over Idea Bank Ukraine.

As of Dec. 20, US$1 was equivalent to 23.37 Ukrainian hryvnia.