Central bank issues preliminary approval  for Areximbank and Ardshinbank incorporation

ArmInfo. The consolidation of Areximbank with the Gazprom Bank Group will drive Ardshinbank to leaders in respect to capitals, assets and number of branches. As ArmInfo was informed by the press-office of Ardshinbank, the total capital will reach AMD 74 bln, assets - up to AMD 540 mln, number of branches will increase from 54  to 72.

The preliminary approval of the Central bank was issued for the Incorporation Agreement of Areximbank and Ardshin bank on November 22. Upon the completion of this process the activities of Areximbank will be stopped, and all the rights and liabilities will be passed to Ardshin bank. The joint bank will perform at Armenian market under the brand of Ardshinbank. The clients of both banks are being served in regular mode, according to contracts concluded, which might be stopped in the terms and within conditions stated in those contracts.

The united bank will not only increase its financial indicators, but also will fed with modern technologies, will expand the range of services and amend the staff with experienced specialists. All this will essentially extend the  capability of Ardshinbank in respect to providing banking services of high quality both in corporate and personal aspects. Within this, Ardshinbank will improve own positions at the banking sector of Armenia and will get new competitive preferences at the market.

To remind, the financial-industrial corporation of Region, which owner is well known Russian businessman Karen Safaryan, which is at the same time the final beneficiary and the Board Chairman of Ardshinbank, has  purchased Armenian subsidiary of Gasprombank  Group - Areximbank. The financial-industrial corporation of  Region  has been founded in 2006 and implements its investment performance in Armenia by today.

To note, Ardshinbank JSC 9 (former name Ardshininvestbank), has been established in 2003. Nowadays has 56 branches, one service point and office in Paris. Due to general balance indications Ardshinnbank goes under TOP-3. Areximbank - Gazprombank Group was established in 1998, has 16 branches and 1 service point. Until 2016 October 7, Areximbank was the subsidiary of Gazprombank.

According to ArmInfo's Financial Rating of Banks, the shareholders of Ardshinbank are Center of Business Investments LLC - 97.52%, Aram  Andreasyan - 1.57%, Karen Safaryan (RF) - 0.37%, Rudik Mkrtumyan and  Khachik Zakaryan - by 0.27%, and International Business Center CJSC  JV - 0.0005%.  The total capital of Ardshinbank as of July 1 2016 amounted to 51.3bln drams (4th place), assets - 452.8bln drams (2nd place), loans - 384.7bln drams (1st place). The Bank retains its leadership position by net profits too - 2.2bln drams for the 1st half of 2015 with a 47.6% year over year growth. As of July 1 2016, Areximbank's total capital amounted to 23bln drams, assets -98bln  drams. Loans - 61bln drams, and the accumulated loss - 15bln drams  with a 6.4% year over year growth.