SCPEC permits merge of Cascade Bank and Cascade-credit

PanARMENIAN.Net - State Commission for the Protection of Economic Competition (SCPEC) permits merge of the Cascade Bank and the Universal Credit Organization Cascade-credit, press office of the SCPEC reports.



On May 11 the Cascade Bank applied to the Commission and informed about bank's decision of February 2009 to unite with Cascade-credit. Same range of activities, effective usage of assets, improved governance, raised competitiveness of services offered on the financial market and further potential growth, grown revenues due to expenditure cut were mentioned among the main reasons of the decision on merge.



Besides, according to the data of RA Central Bank, after joining with Cascade-Credit the bank will rank 16th in country's banking system (either by its assets, or by liabilities) instead of current 19th. (22 banks are currently operating in Armenia). In respect to other showings, since merge of two companies cannot drive to dominating position on any commodity market, the Commission permitted it.



The Cascade-Credit bank was established in May 1998 by the Emporiki Bank of Greece with the capital of $3 million. In 2000, bank's capital grew to 4 million. In May 2005, Cascade Capital Holding purchased 100 per cent of bank's shares and in June the bank was renamed into Cascade Bank CJSC. Cascade Capital Holdings is 100 per cent owned by the U.S.- based Cafesjian Family Foundation. The total capital of the bank is 5 569 999 thousand AMD, with 14 153 474 thousand AMD of assets and 8 583 475 thousand AMD of liabilities.



Cascade-Credit was established in 2004 by Cascade Capital Holdings. Cascade-Credit provides renewable energy loans to build and equip small hydro power plants and consumer, business and agricultural loans and leasing.