Raiffeisen Zentralbank Osterreich AG (RZB) held an extraordinary shareholders’ general meeting today. At the meeting, the decision was reached to issue participation capital amounting up to 600 million euros. The subscription period for this participation capital will end on 29.12.2011 at 5:00 p.m. (CET). The freshly-issued participation capital will be used in particular be used to purchase shareholdings that Raiffeisen Regional Banks (Raiffeisenlandesbanken) currently hold in network banks in Central and Eastern Europe.
This measure ensures that the RZB Group’s structure is optimized and at the same time improves its capital position according to the provisions of Basel III, whose equity stipulations recognize the minority shareholdings of other shareholders as own funds only to a limited extent. This will already be the case as of 2013, as the Austrian banking regulators have decided to implement Basel III earlier than originally planned.
At the same time, the extraordinary shareholders’ general meeting revoked an existing anticipatory resolution regarding authorized capital and newly passed the resolution with a slightly changed wording that makes the exclusion of subscription rights possible.
Raiffeisen Zentralbank Osterreich AG (RZB) is the central institution of the Raiffeisen Banking Group Austria (RBG), head of the RZB Group and the service unit for the Raiffeisen sector in Austria. As an organizer of synergies and joint solutions, RZB functions as the key link between RBG and Raiffeisen Bank International (RBI).
RZB holds approximately 78.5 per cent of the shares in its listed subsidiary RBI. It owns the largest banking network in Central and Eastern Europe via RBI. Subsidiary banks, leasing companies and a range of other financial service providers cover the 17 markets in this region. In total, around 60,000 employees service about 13.7 million customers through around 2,000 business outlets, the great majority of which are located in CEE.