The Bank of Cyprus announced recently the disposal of its investment in Marfin Diversified Strategy Fund Plc (MDSF), comprising 1.142.052,6400 Founder Shares and 765.096,0464 US Dollar A Shares (95% of MDSF issued share capital) to Dorchester Capital Secondaries Offshore III, LP.
According to the announcement, the sale consideration is $92 million (approx. €84 million), with the sale enhancing the Bank’s liquidity and capital position.
“Due to the disposal, there is a positive impact of approximately 0,1 percentage points on the Group’s Common Equity Tier 1 capital ratio due to the reduction of risk weighted assets. The accounting gain is approximately €10 million and represents the recycling of the related foreign currency reserves into the income statement”, says the lender.
Source: CNA
