DBS Bank Raises Fresh Capital to Avert Bailout
Published on 7 january 2015A total of 98 existing investors subscribed 485,248 shares worth EUR 4.37m in two rounds in November and December, while the benchmark was set at EUR 4m.
"Based on the outcome we therefore announce that the capital increase has been successfully completed," the bank said in a press release.
The central bank had set the minimum capital adequacy ratio for DBS at 11.4%, and the minimum tier 1 capital ratio at 9.1%.
As the bank's capital increase was successful, DBS is now in compliance with both capital adequacy ratios.
DBS was not considered particularly problematic given its small size - it had total assets of EUR 891m in mid-2014 - but it was nevertheless closely watched.
Slovenia has already had to bail out four banks and two were wound down, stretching public finances to the limit.
Source: The Slovenia Times
