FIMBank consolidates stake in factoring joint ventures
FIMBank has secured a controlling interest in factoring operator India Factoring after acquiring Punjab National Bank’s shareholding in the company. India Factoring is a pan-Indian operation with a head office in Mumbai and eight branches in major cities in India. This transaction follows on the recent announcement that FIMBank acquired the shares of Trans Kapital Bank, thereby achieving a controlling interest in its Russian factoring operator FactorRus. FIMBank now has a controlling interest in both factoring joint ventures, with 79% of the shareholding in India Factoring and 80% of the shareholding in FactorRus.
Commenting on these developments, FIMBank president Margrith Lutschg-Emmenegger explained that: “Our new reference shareholders and the resources made available to us have enabled us to adopt an alternative strategy which has allowed FIMBank to take a controlling interest in these operations. This places us in a better position to drive our international factoring joint venture strategy and control its implementation. It also permits a centralised control of risk management, as now both India Factoring and FactorRus join MENAFactors in Dubai as FIMBank subsidiaries”.
On his part, FIMBank group chairman Dr John C. Grech said: “We understand that profitable revenue growth is the most important driver of long-term value creation. Our aim is to use the capital provided by our shareholders and lenders as efficiently as possible. By securing a controlling interest in these two factoring operations we will be in a position to consolidate our position in these markets and create long-term value”.
For more information about the FIMBank Group, visit www.fimbank.com.
