Capital base of Argentinean Banco Supervielle strengthened in order to support its growth

Microfinance Focus, Aug. 20, 2009: FMO recently started disbursing a US$ 20 million loan to Argentinean company Grupo Supervielle S.A. at a tenor of 7 years, in order to strengthen the capital base of its main subsidiary Banco Supervielle. The FMO loan has a 7 year tenor, a five year grace period, and includes instruments that will ensure both lender and borrower will profit from future growth and listings in international and local markets.

Jorrit Dingemans, Investment Officer at FMO comments “This facility will enable Banco Supervielle to continue its medium term growth strategy. The transaction fits in well with FMO’s strategy, due to the fact that Banco Supervielle and its parent company are active in a very ample spectrum of the SME, consumer and micro finance market.”

Dingemans adds that “while other financial institutions have left Latin America, FMO, by strengthening the financial system in Argentina, clearly positions itself as an anti-cyclical investor.”

Banco Supervielle, founded in 1887, is the sixth Argentine owned private bank in the system. The bank serves more than 1,000,000 clients, operating a network of 143 branches and service points, 195 ATMs and more than 2,600 employees. The bank’s business banking department provides products and services to over 2,700 Argentine companies in the fields of local and  international trade, leasing and factoring.

Banco Supervielle furthermore is the financial agent for the province of San Luis and owns Banco Regional de Cuyo since it was acquired in 2008. Banco Regional de Cuyo employs 450 persons and has a strong presence in the West of Argentina, running a network of 33 branches and agencies and 60 ATMs.

Banco Supervielle is part of Grupo Supervielle, which also controls Supervielle Asset Management, Tarjeta Automática and Cordial Microfinanzas.