Promsvyazbank (PSB), one of Russia's largest privately-owned banks, may issue Eurobonds worth around $500 million in the second quarter of 2012 and float shares later in the year if market conditions allow, a top executive said in an interview. The lender also plans to increase net income in 2012 but expects conservative loan book growth due to uncertainty over Greece's debt woes and instability in the Middle East, First Deputy Chief Executive Alexandra Volchenko told Reuters.
External markets, largely closed for Russian borrowers in the second part of last year, started to reopen after the European Central Bank pumped liquidity into the banking system and lenders accepted a Greek debt restructuring. "We will take advantage of the positive environment during the second quarter ... We will discuss the amount but it is likely to be comparable to our outstanding (Eurobond) issue of $500 million," Volchenko said.