Restoration of capital buffers
TBC Bank Group PLC ("TBC PLC") announces that its subsidiary JSC TBC Bank ("TBC Bank") has confirmed to the National Bank of Georgia ("NBG") that by 31 July 2021, it will fully restore the capital buffers that were temporarily suspended by the NBG in March 2020 to mitigate the negative impact of the COVID-19 pandemic on the financial sector. This will result in lifting any regulatory restrictions on any capital distributions by TBC Bank.
The improved macroeconomic outlook coupled with a robust financial performance puts TBC Group in a strong position to maintain solid capital levels and to continue with its growth strategy both in Georgia and Uzbekistan, while at the same time to resume the payment of dividends to shareholders.
As of 30 June 2021, our capital adequacy ratios were comfortably above the minimum regulatory requirements including the restored buffers:
|
| Minimum requirement with restored buffers |
TBC ratio | Surplus in % |
Surplus in GEL |
| CET1 capital | 11.24% | 13.04% | 1.80% | 327,709,219 |
| Tier 1 capital | 13.50% | 15.53% | 2.03% | 370,578,778 |
| Total capital | 17.82% | 19.55% | 1.73% | 316,209,932 |
The Board has approved the change in the dividend policy to include semi-annual payments (an interim and final dividend each financial year). Furthermore, on the back of macro revival, strong profitability and capital generation the Board is considering declaring the first interim dividend for the six months ended 30 June 2021, payable in the second half of 2021. A further update will be provided when TBC PLC announces its consolidated financial results for the six months ended 30 June 2021 in August 2021.
For further enquiries, please contact:
Director of International Media and Investor Relations
Zoltan Szalai
Or
Head of Investor Relations
Anna Romelashvili
About TBC Bank Group PLC ("TBC PLC")
TBC Bank Group PLC ("TBC PLC") is a public limited company registered in England and Wales. TBC PLC is the parent company of JSC TBC Bank ("TBC Bank") and a group of companies that principally operate in Georgia in the financial sector and other closely related fields. TBC PLC also recently expanded its operations in Uzbekistan. TBC PLC is listed on the London Stock Exchange under the symbol TBCG and is a constituent of the FTSE Small Cap Index. It is also a member of the FTSE4Good Index Series and the MSCI United Kingdom Small Cap Index.
TBC Bank, together with its subsidiaries, is a leading universal banking group in Georgia, with a total market share of 38.5% of loans and 39.8% of non-banking deposits as of 31 March 2021, according to data published by the National Bank of Georgia.
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