The IFC, Member of World Bank Group, acquires substantial shareholding in FIMBank Malta - Press Release

10.11.2005

International Finance Corporation (‘IFC’), a member of the World Bank Group signed a Subordinated Convertible Loan Agreement with FIMBank on the 23rd June 2005.  The Loan Agreement provides IFC with the right to convert part of the loan into ordinary shares of FIMBank.  On 27th October 2005 IFC has notified FIMBank that it will convert part of the loan into ordinary shares.

The new shares will give IFC a shareholding of 7.18% of FIMBank’s issued share capital and a seat on its Board. IFC will thus become the second largest shareholder in FIMBank.

Margrith Lütschg-Emmenegger President of FIMBank Group was very pleased with the IFC conversion and confirmed that IFC shareholding in FIMBank is a strong sign of confidence in the Bank and its future potential.

IFC had already stressed in its presentations to the World Bank Board and to the Maltese Authorities that this investment is a long term commitment underlining the belief in the future of FIMBank. Therefore, IFC shareholding should be viewed as a further step in strengthening FIMBank’s position in the market and its potential to accelerate growth, reduce cost of funding,  and create strong confidence in FIMBank capabilities internationally and domestically.  

FIMBank is a specialized international trade finance group based in Malta. It is licensed as a Credit Institution by the Malta Financial Services Authority and is a listed company on the Malta Stock Exchange.  FIMBank employs approximately 110 people. It also promotes its services through a representative office in London and markets its services in selected international markets. LFC, FIMBank’s forfaiting specialist wholly-owned subsidiary, has offices in London, New York, Moscow, Istanbul and Sao Paulo. FIMBank is now actively pursuing the addition of factoring to its core activities through a network of international factoring joint venture companies. These Joint ventures will be mostly undertaken with IFC and selected local partners in different strategic locations.

---