UPDATE2: Mosenergosbyt, RAO ES East hold Peresvet Bank bonds

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MOSCOW, Apr 21 (PRIME) -- Russian power sales company Mosenergosbyt holds 2.56 billion rubles worth of troubled Peresvet Bank’s bonds and the board of directors of RAO Energy Systems (ES) of the East approved the purchase of 2.54 billion rubles of bonds on Friday, the companies said in their respective statements.

Mosenergosbyt’s money on accounts at Peresvet amounted to 2.9 billion rubles as of December 2016.

The central bank decided on Wednesday to start financial purge procedures at the bank, applying a mechanism of bail-in. The bank’s capital gap amounts to 103.6 billion rubles. Russian Regional Development Bank will act as the investor, the central bank’s loan on the procedures will make 66.7 billion rubles.

The bail-in mechanism envisages conversion of bank’s debt to creditors into shares; 70 creditors of Peresvet Bank earlier agreed to buy 15-year subordinated bonds of the bank.

The bank said in a statement that the interim administration of Russia’s Peresvet Bank has reduced capital to 1 ruble from 1.91 billion rubles.

(56.1396 rubles – U.S. $1)

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