OREANDA-NEWS. April 29, 2014. The Council of the Financial and Capital Market Commission approved registration of the Base Prospectus of ABLV Bank, AS, Fourth Bond Offer Programme, allowing the bank to perform public offering of debt securities amounting to EUR 400 million or equivalent amount in USD, pursuant to the particular final terms of public offer.

According to the Base Prospectus of the Fourth Bond Offer Programme, ABLV Bank may issue both straight and subordinated bonds. The programme will be effective for 12 months. Under this programme we will specifically inform about particular bond issues, as the respective decisions are made. As previously, we are planning to include new bonds in NASDAQ OMX Riga list of debt securities in order to begin public quotation of the bonds and make them available to mutual funds and other professional investors.

We started performing public bond issues in 2011. The issues of bonds are performed in accordance with the bank’s strategic objectives – to raise sufficient financial resources available in the long term. Diversification of sources of funding is considered to be an efficient way of achieving this objective, and this means raising financial resources not just in the form of the customers’ deposits, but also by issuing bank’s debt securities – bonds.

At the same time, investments in bonds allow our customers to receive higher income than that under deposits and also ensure wider transaction opportunities — bond coupons can be purchased, sold or used as collateral to obtain financing, meanwhile retaining the investment amount and planned yield.

Taking into account the already redeemed bonds, we have performed 20 public bond issues so far. Currently, 17 bond issues are included in the NASDAQ OMX Riga list of debt securities. The investors own ABLV Bank, AS, bonds worth more than EUR 427.4 million in total.