Tsvetan Vasilev to Make Proposal on KTB within Days – Central Bank

Corporate Commercial Bank's majority shareholder Tsvetan Vasilev. Photo by BGNES

The Bulgarian National Bank (BNB) has received answers to the letters it had sent to Bromak JSC and the State General Reserve Fund of Oman, Corpbank's major shareholders.

Both Vasilev, Corporate Commercial Bank (Corpbank or KTB)'s majority shareholder, and the SGRF a have replied to a demand from the BNB that they table their proposals for a potential capital and liquidity support for KTB, currently under special supervision, in accordance with Bulgarian and EU legislation.

Though their responses do not include precise financial commitments, Vasilev and the Omani fund have declared they are willing to act in principle.

Vasilev for his part has announced he is due to submit a structured proposal in the days to come.

As for the SGRF, it is planning to set up a consortium of investors who will make a proposal on how Corpbank should be restructured. Their suggestions will be based on the asset quality evaluation currently prepared at the supervisory board and on an additional assessment (the so-called “due dilligence”), but also on the proper state support by the Bulgarian government.

 

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