VEB to Help Revive Ukrainian Bank

Ukraine's Prominvestbank, in receivership since October, has signed a memorandum with Russia's VEB to help revive its finances, its receiver said Tuesday.

Volodymyr Krotyuk, the receiver and also a Ukrainian central bank deputy chairman, said the sum needed to recapitalize the bank would be announced soon and submitted to the government.

"Shareholders of Prominvestbank have announced the signing of a memorandum with Vneshekonombank on a program of reviving Prominvest," Krotyuk said.

"On Dec. 11, the central bank took a decision on capitalization of the bank, with the participation of the government."

An Austrian holding company controlled by two Ukrainian brothers and members of the parliament had initially struck a deal to take over the bank, but failed to make payment in time.