The board of directors at Orient Express Bank recommended the bank's shareholders to approve a merger with Uniastrum Bank, the lending institution said in a press release.
An extraordinary shareholders meeting at which this issue is to be settled will be held on November 7.
"To propose the extraordinary meeting of Orient Express Bank shareholders to adopt a decision to reorganize the bank via a merger with Uniastrum Bank," the press release runs.
Moreover, the board of directors approved a Uniastrum Bank merger project. So, Orient Express Bank will issue additional shares worth Rub 3.2 b by placing additional common registered non-documentary shares with Rub 0.01 par value each. Holdings in Uniastrum Bank's charter capital with par value of Rub 5,099 mln will be converted into these securities.
Artem Avetisian, a Uniastrum Bank beneficial owner and head of new business at the Agency of Strategic Initiatives (ASI), earlier told Banki.ru that the Uniastrum Bank-Orient Express Bank merger, and also negotiations over their merger with Credit Europe Bank go as planned.
"Earlier because of technical factors we had no time to register the new charter. This prevented us from holding a shareholders meeting on time and maybe this sparked speculation that the parties failed to reach an agreement. The parties did reach an agreement two or two months and a half ago, all relevant documents have already been signed," Avetisian answered, commenting on recent media reports about suspension of the banks' merger.
