Liberty Bank, the third largest lender in Georgia, announced on October 13 that a Netherlands-based company, the European Financial Group, has purchased 74.64% of its equity. No further details about the transaction were revealed. The ultimate beneficiaries of the new owner are American citizens Igor Alexeev and Irakli Rukhadze and Ben Marson, a British citizen.
Previously, a local venture owned by former Georgian Prime Minister Lado Gurgenidze and Romanian businessman Dinu Patriciu owned 91.2% of the shares in the bank. Liberty Bank is the largest of the 17 small banks in Georgia, accounting for a market share of 5.6%. TBC Bank and Bank of Georgia, the country's largest lenders, account for two-thirds of the market in terms of loans and deposits.
According to its half-year financial results, Liberty Bank experienced a 29.7% y/y growth in net income to GEL21mn (€7.43mn) and a 22.1% y/y growth in revenue, in line with the generally positive performance of the entire sector.
According to the statement of its Q2/H1 results, the bank has experienced a significant turnaround, going from a nearly bankrupt institution with negligible equity of under GEL15mn and negative regulatory capital to a bank with equity worth over GEL170mn and a return on assets that has been consistently above 20%.
Related Articles
Financial Stability Board publishes recommendations on nonbank leverage risks
Global regulator, the Financial Stability Board, published final policy recommendations to address financial stability risks from nonbank financial intermediation leverage, giving authorities ... more
Non-performing loans hit historic low in CESEE, but early warning signs emerge, says EBRD
Non-performing loans (NPLs) in central, eastern and south-eastern Europe (CESEE) fell to their lowest levels since the global financial crisis in 2024, but early indicators suggest rising risks ... more
Most Read
-
Putin to skip Rio BRICS summit over ICC warrant as Xi signals no-show
16 days ago
-
Turkey yet to prove rare earth deposit has suggested “giant” potential despite reported processing talks with China
10 months ago
-
Uproar in Mongolia as development bank reveals scale of risky loans and NPLs
3 years ago