OREANDA-NEWS. On 05 March 2009 was announced, that Transcapitalbank launched an offer to repurchase for cash up to USD50million of USD 175million 9,125per cent Loan Participation Notes due 2010. The tender was available via a Modified Dutch Auction, the Royal Bank of Scotland was appointed as the sole dealer manager. By the results of the auction, ended on 24 February, TCB accepted for purchase a nominal of Notes equal to USD 28,200,000, the purchase price for the Notes has been set at USD 620 for each USD 1,000 in nominal amount.

The decision of partial buy back of its Notes was accepted by TCB due to the illiquid secondary market of its debt obligations. TCB followed the aim to provide an opportunity to cash-constrained investors to exit their positions before maturity, to reduce their exposure to Russia, and as a result generate their liquidity. Besides, the tender price was determined as an attractive investment opportunity for TCB to use certain of its cash on balance sheet to purchase outstanding debt. According to the words of Mrs. Olga Gryadovaya (Chairman of the Board of Transcapitalbank) " the closed deal once again proves the strong position of TCB in the market. In the period of financial crisis the Bank decided to support its investors, which took part in its first deal in the capital market in 2007, as well as investors who purchased our bonds in the secondary market ". "We once again express our intention and desire to continue cooperation with all present and past holders of our Notes, and the results of the last auction prove its statement" - emphasized Mrs. Olga Gryadovaya.

Transcapitalbank is one of the most dynamically developing banking institutions in Russia, providing banking services for individuals and legal entities since 1992. Its main attention is mainly focused on corporate banking and active support of small and medium sized businesses in all sectors of national economy.