Electroaparataj buys Libra Bank

Electroaparataj Bucharest will buy a significant stake in Libra Bank, for which operation it is set to allocate 107bn ROL (some $3.3 million), as decided by its shareholders during the EGM at the end of last week. Electroaparataj will become a Libra Bank shareholder by buying shares and contributing to the share capital increase of the bank, the company says. The contribution in cash is worth 77bn ROL, with the rest of the funds directed to the acquisition of shares in Libra Bank. Banking sources have recently said nine companies controlled by Broadhurst investment fund are about to complete talks on buying the main stake in Libra Bank and are expecting the National Bank of Romania (NBR) to sanction the deal. The companies to have submitted bids for various stakes in Libra Bank include Romarta Bucharest, Electroaparataj, Romportmet, Vel Pitar and Winmarkt. Businessman Viorel Catarama in April 2000 sold the controlling interests in Libra Bank to a group of 19 Turkish and Cypriot investors, each now holding less than 5%. There are also 23 Romanian individuals who hold 6.46% in the bank and seven Romanian corporate bodies that hold 4.93%. ZF