Ulaanbaatar, February 3, 2021 - Bogd Bank has announced its IPO plan to offer approximately 20 percent of its total common shares to the public on the Mongolian Stock Exchange in the first half of 2021.
The Parliament of Mongolia approved the law on amending the Banking Law at the plenary session of the Parliament on January 28, 2021. This amendment requires systemic commercial banks operating in Mongolia to offer their shares to the public within a certain period to reduce the concentration of their ownership structure.
Bogd Bank, established in 2014, offers a full range of commercial banking services, within the mandate of the Bank of Mongolia. It aims to expand its operations to become a branchless retail bank by initiating the latest technology and new standards to the Mongolian financial market. Moreover, Bogd Bank maintains a stable and high return on investments for its customers, corporate clients and investors through the introduction of a wide range of modern innovative products and services tailored to each of their needs.
Saruul Ganbat, CEO and a Board member of Bogd Bank, who has 13 years of experience in investments, banking and financesaid: “I am ecstatic that our bank’s IPO is about to trailblaze the long-anticipated efforts to give the public an opportunity to invest in commercial bank stocks. We believe that the transition to a transparent listed company will be an important step in improving corporate governance, increasing public confidence in the Bank's operations, and will help us grow into the best modern bank”.
Ard Securities, a wholly-owned subsidiary of Ard Financial Group is the main underwriter of the Bank's initial public offering. Ard Financial Group’s Chairman, Batbayar Purevjargal said: “We are pleased to announce that we have partnered with Bogd bank to facilitate its IPO shortly after the Banking Law was amended. The opening of banks to the public will expedite the expansion of the capital market, improve the banking governance system, and benefit the investors. I am confident that in the future, commercial banks will continue raising capital from the stock market in order to expand their operations”.
Ard Securities is a brokerage and an underwriter that executes approximately 40% of the total trade volume on the Mongolian Stock Exchange. In 2020, it successfully raised capital for the first-ever closed-end fund on the MSE, National Privatization Fund, bringing the total listed companies managed by the Group to 5: Ard Financial Group JSC (MSE:AARD), Ard Insurance JSC (MSE:AIC), Ard Credit NBFI JSC (MSE:ADB), Mongol Post JSC (MSE:MNP), and National Privatization Fund (MSE:XOC).
For further information:
Ard Securities LLC
Tel: +976 77078181
Bogd Bank LLC
Tel: +976 7577 1199