Shares of Konstantin Zhevago's Ferrexpo plunged after news of his bank's bankruptcy.

FerrexpoShares in British mining company Ferrexpo fell more than 30% this morning after information about the bankruptcy of Finance and Credit BankInterfax-Ukraine reports this.

As of 11:55 AM (Kyiv time), the share price was GBP 0,4075 per share. This was due to the fact that of the company's $280 million in available funds, $174 million was held at Finance and Credit Bank. The remaining funds were held in offshore accounts.

Ferrexpo stated that the NBU's decision to declare Finance and Credit bank insolvent will not affect the company itself. According to its semi-annual report, the company held $165,38 million in Finance and Credit bank, an increase from the beginning of the year.

As a reminder, Konstantin Zhevago, who owns 50,3% of the bank's shares, is also the majority shareholder and CEO of Ferrexpo.

 

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