PROJECT

Projects

Summary of Investment Information

Project Number

49175

Company Name

VeloBank S.A

Date SPI Disclosed

Mar 29, 2024

Country

Poland

Region

Europe

Projected Board Date

Apr 30, 2024

Environmental Category

FI-2 - Limited

Status

Active

Last Updated Date

Aug 1, 2024

Department

Regional Industry FIG LAC & EUR

Industry

Financial Markets

Previous Events

Approved : May 24, 2024
Signed : Jul 11, 2024
Invested : Jul 25, 2024

Sector

Commercial Banking - General

Project Description

The proposed project is an equity investment of up to US$35 million in VeloBank S.A. (VeloBank or Bank) for an ownership stake of up to 9.9 percent. VeloBank is the bridge bank resulting from the resolution of Getin Noble Bank S.A. (GNB) in September 2022 and currently stands as the 9th largest bank in the country. An affiliate of Cerberus Capital Management L.P. (Cerberus) has signed an agreement with the Bank Guarantee Fund (BFG), Poland’s Resolution Authority, to purchase 100 percent of the shares of VeloBank and to recapitalize the Bank to meet regulatory requirements. The transaction's completion, subject to obtaining the necessary approvals, is expected to occur in mid-2024. IFC would participate in the equity transaction alongside Cerberus.

Sponsor / Cost / Location

Development Impact

E&S Category Rationale / Risks and Mitigation