The bourse's representatives said that Nasdaq Riga decided on Tuesday, Nov. 3, to list Citadele Bank's 154 990 240 existing ordinary B category shares and up to 100 000 000 newly issued ordinary B category shares with nominal value of EUR 0.10 on the Baltic Main list as of Nov. 10, 2015.
The final pricing of Citadele Bank shares will be announced on Nov. 4, on the bank's website.
Residents of Latvia, Lithuania and Estonia can subscribe to buy Citadele Bank shares until 3 p.m Tuesday.
The Latvian financial regulator, the Financial and Capital Markets Commission, has given permission to Citadele Bank to go ahead with its IPO for up to 100 million ordinary B shares.
The par value of one share has been set at 0.10 euros. The price range for the IPO has been set at between 1.15 euros and 2.00 euros per share, including the 0.10 euros par value and mark-up in the range between 1.05 euros and 1.90 euros.
The Financial and Capital Market Commission has also allowed CITIBANK, N.A., the issuer of Citadele global depositary receipts (GDRs), to proceed with IPO for up to 16,666,667 GDRs.
Citadele shareholders decided to issue the new shares and GDRs at their extraordinary meeting on October 13, 2015.
Citadele Bank, established as a result of reorganization of the bailed-out Parex Bank, became operational on August 1, 2010. In late 2008 the Latvian government took over Parex Bank, which was the second largest bank in Latvia at the time, in order to save the privately-owned bank from financial troubles due to the global financial crisis.
On March 23, 2010, the Latvian government adopted a decision about the restructuring Parex Bank by separating part of the assets to create a new bank – Citadele Bank. When the European Commission approved the Parex Bank bail-out, the Latvian government undertook to sell Citadele Bank by the end of 2014, and the sell-off agreement was signed in November 2014.
The sell-off of the state-held 75 percent stake in Citadele Bank was completed on April 20, 2015, with Citadele Holdings LLC, a subsidiary of Ripplewood Advisors LLC, and a group of 12 international investors, becoming shareholders in the bank. The European Bank for Reconstruction and Development (EBRD) retained its 25 percent stake in the bank.
Citadele Bank in late June was the seventh largest bank in Latvia by assets.