EIB signs financing agreement with Austrian Anadi Bank

• Austrian Anadi Bank partners with EIB financing programme for SMEs and mid-caps
• EU bank subscribes to covered bonds issued by Austrian Anadi Bank, with the proceeds going to SME financing
• European Investment Bank's first commitment on the national covered bond market

Austrian Anadi Bank is set to take part in the European Investment Bank's (EIB) financing programme for SMEs and mid-caps. The two parties have signed their first joint finance contract for EUR 75m. Under the finance contract, Austrian Anadi Bank commits to adding a further EUR 75m to the EIB funds, giving SMEs and mid-caps access to a total of EUR 150m in loans on favourable terms.

The EU bank will acquire covered bonds issued by Austrian Anadi Bank as part of the financing agreement. Two initial tranches totalling EUR 50m were subscribed by the EIB in December 2017. A third tranche of EUR 25m can be subscribed in December 2019 provided strictly defined contractual requirements are met. This partnership with Austrian Anadi Bank is the EU bank's first commitment on the Austrian covered bond market.

Favourable financing for SMEs and mid-caps
EIB co-financed loans enable businesses to access particularly favourable financing. SMEs and mid-caps are key drivers of growth, employment and innovation in Austria and across Europe. It is one of the EIB's top priorities to provide SMEs and mid-caps with long-term financing on very favourable terms. 70% of the funds are earmarked for SMEs with fewer than 250 employees, while 30% are for mid-caps with up to 3 000 employees. The goal is to allocate all of the funds within two years.

Further impetus for Austrian Anadi Bank's SME initiative
“Austrian Anadi Bank is an Austrian multi-channel bank and the core bank for many small and medium-sized trading and manufacturing companies,” said Austrian Anadi Bank CEO Christoph Raninger. The institution recently launched an investment drive for local SMEs. “With economic conditions fortunately having improved, we are now using the EIB-funded financing to provide a further boost. We will support the competitiveness of local businesses by passing on the favourable interest rates of the EIB financing.”

Austrian Anadi Bank – a strong partner
Andrew McDowell, EIB Vice-President responsible for activities in Austria, said: “This is the first time that the EU bank has entered the bond market in Austria, providing Austrian Anadi Bank with fresh funding for SMEs and mid-caps. As the EU bank, strengthening small and medium-sized enterprises is our priority. We are therefore particularly pleased to have found a new ally in Austrian Anadi Bank, whose strong SME-focus makes it the ideal partner for our SME and mid-cap programme.” Christoph Raninger added: “With the EIB financing, we are broadening the basis of our funding. If nothing else, the financing agreement is also recognition for our work over the last few years. We would like to thank the EIB for its outstanding level of cooperation and look forward to continuing this partnership.”

Background information:

About the European Investment Bank (EIB)
The European Investment Bank (EIB) is the long-term lending institution of the European Union owned by its Member States. It makes long-term finance available for sound investment in order to contribute towards EU policy goals.

About Austrian Anadi Bank AG:
Austrian Anadi Bank AG is an Austrian mobile multi-channel bank with retail banking, corporate banking and public finance segments. It offers customers easy-to-use online services, a mobile sales team and branch offices in selected urban centres. It is a core bank for small and medium-sized manufacturing, trading and real estate companies as well as an expert bank for importing and exporting companies. With its British-Indian owners, it also provides unique access to the Indian growth market. Austria Anadi Bank's 360 employees serve 56 000 customers across 10 branch offices in Carinthia, Salzburg, Styria and Vienna. At 31 December 2016 it had a balance sheet total of EUR 2.9bn, with an operating profit of EUR 15.2m. With a Common Equity Tier 1 capital ratio of 15.75%, Austrian Anadi Bank AG has an excellent capital base. Both the bank and its owners place great value on stable long-term growth.

Press contacts:

EIB
Christof Roche, c.roche@eib.org, tel.: +352 43 79 89013 / mobile: +32 479 65 05 88
Website: www.eib.org/press - Press Office: +352 4379 21000 – press@eib.org

Austrian Anadi Bank
Dr. Saskia Wallner
Press contact
Tel.: +43 (0) 664 808 69 109
anadibank@ketchum-publico.at
presse@anadibank.com
https://anadibank.com