“Bank of Baku” started offering its new bonds at the Baku Stock Exchange. The issue comprises 10,000 unsecured registered bonds for the total amount of 10,000,000 (ten million) Manats. Price of one bond if 1,000 (one thousand) Manats. Bonds were issued through two emission prospectuses (5,000 for each issue). Duration of circulation is respectively 34 and 38 months. Coupon payments are to be made every 6 months. Standard Capital LLC acted as a broker for the issue.
We may also note that for the first time bonds of “Bank of Baku” were offered for the sale at the Baku Stock Exchange on December 14, 2012. This was made possible further to the services agreement signed between “Bank of Baku”, “Pasha Bank” OJSC and “Pasha Kapital” LLC. That issue comprised 10,000 common unsecured bonds with par value of 1,000 Manats. That cooperation was the demonstration of the trust of shareholders of “Pasha Bank”, one of the largest investment banks in Azerbaijan, in the financial standing of “Bank of Baku”.
The funds from sale of bonds will be used for the portfolio diversification, maintenance of a certain balance between funds attracted from legal entities and physical persons, financial institutions, efficient management of financial indicators and keeping the liquidity ratio at a high level.