ProCredit Holding AG: Conversion into joint stock company successfully completed

The parent company of the development-oriented ProCredit group has successfully completed the transformation of its legal form into that of a stock corporation (AG). The conversion was completed with today’s entry of ProCredit Holding AG in the commercial register (27 September 2023). Beforehand, the Annual General Meeting held on 5 June 2023 had already resolved to approve the change in legal form with a very large majority. The conversion into a stock corporation is intended to further enhance investor acceptance, especially among international market participants, while at the same time simplifying the corporate structure. The business focus of ProCredit Holding, and in particular its emphasis on South Eastern and Eastern Europe and its commitment to impact orientation, will remain unchanged. (more…)

ProCredit delivers a strong half-year result and a 14.2% return on equity; ProEnergy solar park marks important milestone for the group in achieving climate neutrality

  • Result of EUR 64.1 million in H1-23 corresponds to a return on equity of 14.2% and thus underlines the group’s medium-term guidance
  • Net interest margin continues to develop positively, and at 3.5% is around 40 basis points higher than at the end of the previous year
  • Adjusted for non-recurring effects, cost-income ratio improves to 58.3%
  • Cost of risk at a low level of two basis points based on stable loan portfolio quality
  • Deposits increase by 2.7%, loans by 0.8% with positive growth dynamics especially in the second quarter
  • Group opens 3 MWp ProEnergy solar park in Kosovo, with which it plans to offset its own emissions almost completely
  • Conversion of legal form to stock corporation (AG) expected to be completed in the third quarter


ProCredit Holding AG & Co. KGaA: Change in the composition of the Management Board at year-end

The Supervisory Board of ProCredit Holding AG & Co. KGaA (ProCredit Holding) and Ms Sandrine Massiani have agreed that Ms Massiani’s Management Board contract will end on 31 December 2023.

Ms Massiani is currently a member of the Management Board of ProCredit General Partner AG, the general partner of ProCredit Holding, and is responsible for Human Resources and Fraud Prevention/Compliance/AML. Ms Massiani will depart from the Management Board by mutual agreement at the end of 2023. (more…)

The ProCredit group achieves another sustainability milestone with the opening of ProEnergy, its own solar park located in Kosovo

The ProCredit group, which is mainly active in South Eastern and Eastern Europe, inaugurated ProEnergy, its own solar PV park, in Lipjan near Pristina in Kosovo today. The 3 MWp photovoltaic park was initiated and implemented as a joint project between ProCredit Bank Kosovo, which also provided the financing, and its parent company, ProCredit Holding. Through this project, ProCredit aims to contribute to changing Kosovo’s energy landscape, building local know-how, and stimulating further private investment. At the same time, the project represents an important milestone for the development-oriented ProCredit group in achieving climate neutrality, a goal that it has been working towards since 2018. (more…)

ProCredit Holding AG & Co. KGaA: Agreement with the Multilateral Investment Guarantee Agency (MIGA) expanded to further support the business activities of ProCredit Bank Ukraine

ProCredit Holding AG & Co KGaA (ProCredit Holding), the parent company of the development-oriented ProCredit group, today announced that the World Bank Group’s Multilateral Investment Guarantee Agency (MIGA) has significantly increased a guarantee for ProCredit Holding which has been in place since 2020. (more…)

Annual General Meeting resolves with large majority to convert to legal form of stock corporation

ProCredit Holding AG & Co KGaA (ProCredit Holding), the parent company of the development-oriented ProCredit group, held its Annual General Meeting for 2023 today. After holding purely virtual general meetings over the past three years, this was the first time that the event was held with physical attendance again.

A total of 76.50% of the share capital was represented. The Annual General Meeting approved by a large majority all of the proposals that were put to the vote. (more…)

The Management Board of ProCredit General Partner AG will be expanded by one member, Ms Eriola Bibolli, with effect from 1 June

The Supervisory Board of ProCredit General Partner AG, the general partner of ProCredit Holding AG & Co. KGaA, decided to appoint Ms Eriola Bibolli as a member of the Management Board of ProCredit General Partner AG for three years, with effect from 1 June 2023. In this context, Ms Bibolli will assume responsibility within the Management Board as Chief Risk Officer (CRO) for the group’s overall risk management from 1 July 2023.  (more…)

ProCredit Holding AG & Co. KGaA raises guidance for the current financial year

On the basis of the strong financial result in the first quarter and due to the ongoing positive development of key earnings drivers, the Management Board of ProCredit General Partner AG decided today to raise the guidance for the group’s return on equity and cost-income ratio in the current 2023 financial year as follows:

The Management Board now expects a return on equity of 8% to 10% and a cost-income ratio of 62% – 64% for the 2023 financial year. The guidance for return on equity is now based on an assumed cost of risk of up to 45 basis points. (more…)

ProCredit Holding AG & Co. KGaA discloses the completion of the announced change in the composition of its core shareholder base

The European Bank for Reconstruction and Development’s (EBRD’s) acquisition of the International Finance Corporation’s shares (IFC’s) in ProCredit Holding AG & Co. KGaA and ProCredit General Partner AG, announced on 17 March 2023, has been successfully completed.

Under the terms of the two share purchase agreements, the EBRD acquired 9.9% of IFC’s shares in ProCredit General Partner AG, which is the sole general partner of ProCredit Holding, as well as IFC’s remaining 5.06% of the limited partner shares in ProCredit Holding. The EBRD thus replaces IFC as the core shareholder of ProCredit Holding and now holds 8.7% of the group’s share capital. In addition to EBRD, the core shareholder base of the group consists of Zeitinger Invest, Kreditanstalt für Wiederaufbau (KfW), DOEN Participaties and ProCredit Staff Invest. (more…)

Strong Q1 result of ProCredit underlines the group’s positive medium-term outlook

  • Result of EUR 29.5 million corresponds to a strong RoE of 13.3%, and thus in the area of the group’s medium-term guidance
  • Good development of net interest margin to 3.4% and moderate cost of risk at 12 basis points as key result drivers
  • ProCredit Bank Ukraine makes moderate contribution to group result, demonstrating its structural strength despite a difficult environment; RoE excluding Ukraine at good level of 11.6%
  • Cost-income ratio adjusted for non-recurring effects at 57.0% and thus 2.5 percentage points below the level of the previous year
  • Deposit growth of 0.6%; loan portfolio declines slightly by 0.8%, with further improvement in portfolio quality
  • Continued focus on green loans; current share of 20.2% in total loan portfolio targeted to grow to 25% in the medium term
  • CET1 ratio at 14.1%; significant increase of 0.7 pp in Q1 driven by further growth in RWA efficiency