Triodos Bank plans to increase its equity by at least 30 million euros

19 April 2007 – Triodos Bank is launching an international issue of depositary receipts for shares. The bank plans to increase its shareholders' equity by 30 to 45 million euros - a development which will allow it to lend more to sustainable enterprises and projects.
Triodos Bank and the funds under its management have delivered average annual growth of 22% over the past five years. This sustained growth has prompted the new campaign. The capital is also needed to extend Triodos Bank’s lending operations in Germany in 2008. The campaign takes place in The Netherlands, Belgium, the United Kingdom and Spain, and will run until 21 July 2007.

Triodos Bank uses financial products and services to build a healthier society and to improve quality of life across the community. To do it, the bank finances enterprises and projects in organic farming, renewable energy, healthcare, social economics, culture and fair trade.

Triodos Bank's balance sheet total rose substantially during 2006, by 26%, to EUR 1.5 billion. The total funds entrusted to the Triodos Bank Group, comprising Triodos Bank and the funds under its management, increased in 2006, by 23%, to EUR 3 billion. 

“Sustainable Development was at the heart of our work when we launched in 1980,” says Triodos Bank CEO, Peter Blom. “Since then, we’ve 'walked the talk', staying true to these core values and becoming a benchmark for genuinely green banking and sustainable investment.

“As we’ve grown, meeting the challenge of climate change and sustainability have become more urgent issues than ever before - and with good reason. As a society we have to turn sustainable development from well meaning rhetoric to practical action. And that’s where Triodos Bank can make a difference and why a growing presence in the market matters – because we can finance more groundbreaking projects providing solutions to our biggest problems and we can do it in an increasingly profitable way. I believe that with a strong shareholder base, and backed by enthusiastic people and institutions that support our mission, we can achieve that growth.”

By increasing its shareholders' equity Triodos Bank aims to underpin its rapid development and maintain the best solvency level possible. It wants to achieve fair and stable returns for depositary receipt holders. In the medium term, the bank plans to increase shareholder equity returns from the current 5% to 7% by scaling up and improving efficiency. In particular, it anticipates that the relatively new branch in Spain (2004) and the planned office in Germany (2008) will contribute to the bank's profits within a few years.

The bank also expects further growth in the existing and new Triodos investment funds - funds that invest in sustainable sectors and contribute directly to the bank's mission. Triodos Bank also plans to expand its range of sustainable products and services, including debit and credit cards, mortgages and Triodos Private Banking. Triodos Bank expects to achieve 20% growth in its activities during 2007.

Sustainable banking
Triodos Bank is an independent bank that advocates and embodies sustainable and transparent banking. Established in The Netherlands in 1980, it believes that rather than exploiting people and the environment for short-term financial gain, they can complement each other, creating wider benefits in the long term.

Triodos Bank helped to pioneer successful tax incentive schemes for green, social-ethical and cultural projects. It launched The Netherlands' first green fund and culture fund and is a leading authority in microfinance in developing countries, including the Triodos Fair Share Fund.

Triodos Bank has 124,000 customers and 4,000 loans to sustainable enterprises and projects. The bank has offices in The Netherlands, Belgium, the United Kingdom and Spain, and an agency in Germany. It employs 350 people.

The depositary receipt issue
Triodos Bank is principally targeting private customers and institutional investors with an interest in the bank's mission. It regularly runs share issue campaigns. The most recent of them was in 2005, successfully increasing the bank's capital by EUR 20 million. Triodos Bank depositary receipts are not listed on the stock exchange, but can be traded through Triodos Bank itself. When the bank was established, it chose to issue depositary receipts for shares, rather than conventional shares, to guarantee its independence and the mission.

Triodos Bank has 9,000 depositary receipt holders. Two-thirds of its share capital is owned by private individuals. As well as private individuals, various financial institutions and pension funds have consciously opted for a shareholding in Triodos Bank. Some of them also work in partnership with the bank.

The issue price up to 30 June of this year is EUR 68 per depositary receipt. No transaction costs (normally 0.5%) will be charged during the campaign period.

The prospectus and the subscription form are available from Triodos Bank NV, Utrechtseweg 60, P.O. Box 55, NL-3700 AB Zeist, Telephone +31 (0)30 693 65 11 or via www.triodos.nl

Triodos Bank N.V. has a full banking licence and is registered with De Nederlandsche Bank and The Netherlands Authority for the Financial Markets.

This document is issued by Triodos Bank NV only for use in The Netherlands and may not be relied upon by any person within any other jurisdiction. Applications for depositary receipts by persons within the UK should only be made on the basis of the prospectus dated 2 January 2007 issued by Triodos Bank NV or such other document governing the offer of securities issued by or on behalf of Triodos Bank NV in the UK.  Prospective UK investors should call 00 44 117 973 9339.

 

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