Millstone&Co. thinks that Ukrainian banks over evaluate themselves
The ungrounded higher evaluation rate of assets is one of the issues of Ukrainian banks. The small and medium Ukrainian banks are a clear example. Maxim Shinkarenko, the Millstone&Co international investment company Director of Ukraine, told it in the interview with Novoe Vremia magazine. He also added that the quality of the assets’ portfolio of such banks leaves much to be desired.
“The time of tough agreements in the bank market when the value of banks might be 5-7 times more its capital fell into oblivion. The current situation shows that Ukrainian banks value may hardly be equal to their capital or even less”, – Mr. Shinkarenko noted. He reminded a recent agreement of IFC that went in rounds in mass media to take a share of a state-run Ukrgazbank with evaluation at the half of the bank capital might be the benchmark for Ukrainian banks evaluation.
Mr. Shinkarenko also noted that Millstone&Co. as a company that has a mandate for buying and selling Ukrainian banks now observes the fall of foreign investors interest in Ukrainian banks.
More about bank income, trends of the Ukrainian bank market, the National Bank of Ukraine strategy, and latest agreements in the banking sector read in the Novoe Vremia magazine’s article in Ukrainian «Кармантягне. Заскількипродаютьсяукраїнськібанки» /Too expensive. How much Ukrainian banks are. https://nv.ua/biz/finance/banki-ukrainy-sliyaniya-i-pogloshcheniya-s-2010-po-2021-gody-i-rol-nbu-novosti-ukrainy-50140684.html
Millstone&Co is a private investment company that provides investment services to its clients. The company has offices in Warsaw, Krakow, and Kyiv.