APS Bank increases its share capital by €42m

APS Bank is to increase its share capital by €42 million following approval at an extraordinary general meeting last Friday.

Its issued and paid up share capital will rise from €15.6 million to €57.6 million by 2013.

APS expects €30 million to be raised through capitalisation of retained earnings and €12 million through an injection of fresh funds.

Following this increase in capital, the bank said it will be able to pursue its mission both locally and internationally and achieve its objectives to continue to support the bank’s growth strategy, ensure adequate regulatory ratios at all times and continue to generate fair returns for its shareholders.

At the bank’s annual general meeting last April, chairman Emanuel Delia had indicated APS Bank was planning to strengthen its capital base further.

This was prompted by the need to extend the bank’s support to its existing and new customers, and in anticipation of the forthcoming regulatory requirements.

To make this capital increase programme happen, discussions between management and the shareholders of APS Bank started last year.

Talks were also taking place during the bank’s centenary year, when the philosophy that drives the bank was reviewed and reconfirmed, and the structure that facilitates the fulfilment of this mission analysed.

Over the last 10 years, APS Bank has managed to increase total assets from €324.8 million to €778.8 million.

In that period, APS extended its presence to 11 key locations nationwide.