Hypo Tirol Needs Capital Increase

Professional ServicesBanks ♦ Published: December 7, 2011; 14:48 ♦ (Vindobona)

The Tyrolean bank suffers from a low equity capital quota. After major write-offs in Italy, the core capital amounts to 5.8%.

Hypo Tirol Needs Capital Increase / Picture: © Vindobona.org

Last week, Hypo Tirol announced write-offs amounting to € 120m, caused by the business in Italy. A capital increase becomes necessary. The head of the supervisory board, Wilfried Stauder, explained that an equity quota of 5.8% cannot be a persisting figure. Now, the facts and data will be audited. “By the end of the day”, the bank will decide which actions are necessary in order…