ProCredit Group

logo_procreditbank_ukraine_4c_


Country:

Ukraine

Serbia

Romania

Sector:

Banks

Signing Date:

Sept  2004

Dec 2006

June 2005

Dec 2006

May 2005

Total Project Cost:

US$ 11M

US$ 20M

EUR 15M

EUR 40M

EUR 12.5M

Lender of Record:

EBRD

EBRD

EBRD

FMO

EBRD

Cordiant Exposure:

US$ 7M

US$ 10M

EUR 3.5M

EUR 10M

EUR 3.5M


Company Description

The ProCredit Group offers a broad range of banking services to the SME sector including micro and small loans, international money transfers, credit and debit card (VISA) operations, current accounts and term deposits. It focuses on developing countries and transition economies in three regions: Eastern Europe, Latin America and Africa. The 21 group’s member-institutions operate over 700 branches staffed by approximately 16,000 employees.

Deal Logic

ProCredit’s successful business model allows the group to focus on under banked emerging economies where the demand for SME financing continues to surpass availability.

Investment Rationale

  • Niche Market Focus: The ProCredit Group focuses mainly on the underserved SME segment of developing countries and transition economies.
  • Strong Credit Culture: Western best practices in banking are used throughout the organization resulting in a conservative credit profile.
  • Good Quality Loan Portfolio: This is achieved through strong client relationships, efficient credit management, regular loan monitoring and a diversified portfolio of SME loans.
  • Valuable Shareholder Support: The group has strong support from ProCredit Holding’s  international shareholders, who provide technical assistance, managerial expertise and reliable long term funding.
  • Strong Management and Organizational Structure: Top management all have considerable experience and are exceptionally qualified.