HEBROSBANK HAS NOT DROPPED THE IDEA OF BUYING BIOCHIM
HEBROSBANK is still interested in the purchase of Biochim commercial bank, the Chief Executive Director of the credit institution Gautam Vir told a reporter of the BANKER weekly. We are presently expecting the new Government to announce the strategy for Biochim's privatisation and we'll then confirm our participation in the tender. The two credit institutions fully complement each other, and HEBROSBANK aims to expand its positions on the Bulgarian bank market, Mr. Vir added.
The forthcoming negotiations for Biochim's purchase were also included in the strategy on HEBROSBANK's development. The concept was presented to the credit institution's shareholders at the recent general meeting of the bank, held on August 20 in Plovdiv. HEBROSBANK's managers have set as their main target to make the credit institution the best provider of bank services by 2004, using both Bulgarian experience and the best of western countries' practices.
For a second year in succession, Gautam Vir proposed (on behalf of HEBROSABANK's major shareholder I Regent Group) that the general meeting should vote for not distributing the bank's profit in dividend. The financial institution's 2000 profit is BGL13,706,000, of which BGL204,915 will go to the Reserves Fund and the remaining BGL13,501,512 will remain as non-distributed profit in HEBROSBANK's equity capital. By this move the tax which shareholders had to pay to the Bulgarian Treasury if they received dividends, shall be evaded. In addition, the bank sets aside a considerable money resource, which it will need for the purchase of Biochim.
The general meeting of HEBROSBANK's shareholders released Alexander Womand and Dominique Bokor-Ingram from the credit institution's Supervisory Board. They will be replaced by Margo Jacobs and David McMaan.
The American Ms. Jacobs is Director of I Regent Group and is responsible for the group's bank investments. She worked as a senior bank analyst at United Financial Group from 1997 till 2000, and in 1996 and 1997 managed investment projects of ANG in Moscow worth more than USD300MN. From 1994 till 1996 Ms. Jacobs worked for KPMG in the Russian capital.
David McMaan, 45, has been in I Regent Group's structures since 1998. He is presently Financial Director and Manager of the group's branch on the British Island Man. He is also a member of the Institute of Dimplomaed Accountants in Weles.
Some changes were made as well in HEBROSBANK's Internal Control Department. Nikolai Todorov, who quitted Demirbank (Bulgaria) several months ago, was appointed Chief Supervisor, and Hristo Kyosev, who was holding this position so far, is his deputy.