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IMB Group Board Approves $100MM Equity Increase And Approves Securitization Project Of Mortgage Backed Securities

IMB Group Public Ltd., Ukraine’s leading pure-play consumer lending platform, plans to increase shareholders’ equity by $100MM and begin the process of Mortgage Securitization.

IMB Group Board of Directors during its quarterly meeting approved an equity increase of $100MM for the Group. The decision for an equity increase is due to the significant growth plans in its IMB and Family Credit subsidiaries.

IMB Group Board of Directors also approved a Mortgage Backed Securitization Project with partners Banco Finantia and VTB. The project will consist of 3 stages: a feasibility study, shortterm warehouse facility, and securitization. IMB Group plans to start using the short-term warehouse facility in the second half of 2007.

Mr. Gregory Krasnov, IMB Group CEO, said: “In 2006, our balance sheet grew from $9MM to over $70MM. This triple digit growth is attributable to both our mortgage and sales finance portfolios. Our plans for 2007 and 2008 include continued triple digit growth of our product portfolios. The equity increase and potential mortgage securitization will be key facilities to support IMB Group’s development in Ukraine.”

Mr. Todd Esposito, IMB Group CFO, added: “Continued growth at IMB will place constraints on our existing capital. A combination of a $100MM Equity increase and Securitization will ensure that we meet capital adequacy rules and have a proper mix of both equity and debt financing. IMB plans to be a leader in bringing Mortgage Securitization to Ukraine.”

About IMB Group Public Ltd.:

IMB Group Public Ltd. is Ukraine’s leading pure-play consumer lending platform, offering mortgages, POS loans, and deposits. IMB Group owns 100% stakes in IMB, a mortgage bank, and Family Credit, a consumer lending intermediary. IMB Group is backed by Horizon Capital, Ukraine’s leading private equity fund manager.