TWO ARMENIAN GIANT BANKS CONCLUDED AGREEMENT ON CONSOLIDATION

Two Armenian giant banks, the Ardshinivestbank and the Armagrobank have signed an agreement on consolidation. Under the agreement, as reported Arminfo agency, the Ardshinivestbank purchases and undertakes the liabilities of the Armagrobank to depositors and clients, thus assuming to rehabilitate the Armagrobank. The transaction’s goal is that the Ardshininvestbank purchases the Armagrobank’s “healthy” assets and liabilities with the brand of a system-forming bank. In question are also property assets. Specifically, the Ardshininvestbank will become the owner of the Armagrobank’s branch network, which is the second largest network in Armenia after that of the Armsavingsbank. To note, according to the Armagrobank’s financial reporting, the bank’s liabilities had amounted to 8.6bln. AMD by October 1, 2003.