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Raiffeisen Bank redeems the full € 1.75 billion in participation capital subscribed by the Republic of Austria

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Autor: Bancherul.ro
2014-06-10 12:47

Raiffeisen Bank International AG (RBI) press release, Vienna, 4 June 2014:

"The Annual General Meeting of Raiffeisen Bank International AG (RBI), held today at the Austria Center Vienna, approved a dividend of € 1.02 per share for the financial year 2013.

The new shares resulting from the capital increase at the beginning of 2014 are also entitled to full dividend rights for the previous year, resulting in a maximum dividend payout of around € 300 million. The date of payment
to entitled shareholders is 11 June 2014.

Karl Sevelda, RBI’s CEO, gave a positive summary at the Annual General Meeting: “We were Austria’s most profitable bank for the fourth time in a row in the financial year 2013. The capital increase at the beginning of this year was a further success which significantly surpassed our own expectations. Accordingly, we were able to sustainably strengthen our capital base. Approval from the Financial
Market Authority (FMA) has already been received for the repayment of the participation capital and therefore, in a first step, we will repay the entire amount of the state participation capital. The Republic of Austria has trusted and supported us during a time which was very difficult for the whole banking sector. For this, we were very grateful. The Republic of Austria has earned an attractive return on
having placed its trust in us.”

Today, the Austrian regulatory authorities granted approval for the redemption of the participation capital. On this basis, RBI will redeem the full € 1.75 billion in participation capital subscribed by the Republic of Austria on 6 June 2014. Subject to market conditions, RBI also aims to redeem the private participation capital, amounting to a total of € 0.75 billion, by the end of the year.

As a result of the capital increase, carried out at the beginning of 2014, existing authorized capital was largely utilized. In order to be able to respond flexibly to future capital requirements, the Annual General Meeting again gave the Management Board anticipatory authorization to increase the company’s share capital by up to 50 per cent within the next five years, with approval from the Supervisory Board.

Additionally, the Management Board was authorized to acquire own shares up to 10 per cent of share capital, and if necessary to redeem them, as well as to acquire own shares of up to 5 per cent of share capital for the purpose of securities trading.

Martin Schaller, CEO of Raiffeisen-Landesbank Steiermark AG, and Bettina Selden, who brings with her, inter alia, her experience as a member of the management board of OeKB EH Beteiligungs- und Management AG and of PRISMA Kreditversicherungs-AG, have been elected to the Supervisory Board for the first time.

They succeed Markus Mair, who resigned with effect from 4 June 2014, and Stewart Gager, whose period of office ended on the same day. Kurt Geiger, whose term in office ended on 4 June 2014, was again elected to RBI’s Supervisory Board by the Annual General Meeting.

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