Varengold Bank AG: Capital increase by strengthening the base; preliminary, unaudited corporate figures for 2014

Varengold Bank AG  / Key word(s): Preliminary Results/Capital Increase22.04.2015 18:50Dissemination of a Corporate News, transmitted by DGAP - a service of EQSGroup AG.The issuer / publisher is solely responsible for the content of this announcement.---------------------------------------------------------------------------Hamburg, April 22, 2015 - Varengold Bank AG (WKN 547930) has approved abank capital increase with a resolution of its Extraordinary ShareholdersMeeting on January 20, 2015. The equity of the company was increased withthe approval of the Supervisory Board from 1,771,405.00 euros cashinvestment to 1,948,368.00 euros through the issuance of up to 176,963 newshares under exclusion of subscription rights. The shares were placed at anissuance price of 20.00 euros per share with an international investor. Theproduct portfolios of the business areas Capital Markets and CommercialBanking will be further extended with the new funds.Varengold has invested an increased amount in the past fiscal year in orderto achieve solid growth. All business areas have contributed to analtogether satisfactory and balanced performance for the bank, andpropelled the operating business forward. Looking back at 2014, in additionto the activities in the individual business areas, the results were againaffected by a significant amount of administrative expenses on the overallbank level since receiving a licence as a depository; these were necessaryto build out Varengold as a depository.After prior, unaudited figures, Varengold Bank AG closed fiscal 2014 with aprofit in the amount of209 thousand euros (previous year: -3,681 thousand euros) In sum, theincome from the normal business activities of the Varengold Bank AGamounted to 530 thousand euros (previous year: -5,434 thousand euros).Total balances showed a significant increase from 53,112 thousand euros to353,181 thousand euros.In addition, loans advanced to banks increased to 74,260 thousand euros,and fund investments increased to 52,913 thousand euros. Interest income ofthe Company rose from 311 thousand euros in 2013 to 1,995 thousand euros in2014. These were primarily driven by interest income in the loansoriginated in the Commercial Banking Business Unit. Furthermore, interestexpenses rose to1,360 thousand euros due to customer deposits, so that a net interestincome of 635 thousand euros was achieved. Commission income climbed from2,102 thousand euros to 5,640 thousand euros. Commission expenses increasedfrom 68 thousand euros to 4,978 thousand euros. Commission income thereforeresults in an amount of 661 thousand euros. This was chiefly driven by theCapital Markets Business Unit, which also covers the Asset ManagementBusiness Unit. The net income from the trading portfolio increased from7,938 thousand euros to 13,995 thousand euros.General and administrative expenses of the Company increased by 4,037thousand euros (from 8,741 thousand to 12,778 thousand euros). Onesignificant reason was the increase in consulting and auditing costs from1,104 thousand to 2,155 thousand euros; IT costs increased from 945thousand to 1,359 thousand euros, and staff costs increased from 4,285thousand to 5,836 thousand euros.The Board of Managing Directors' current assessment for the rest of thisyear is that the Bank has the potential for sustained and satisfactorygrowth.Varengold Bank AG will publish audited financial statements in June 2014.22.04.2015 The DGAP Distribution Services include Regulatory Announcements,Financial/Corporate News and Press Releases.Media archive at www.dgap-medientreff.de and www.dgap.de--------------------------------------------------------------------------- Language:     EnglishCompany:      Varengold Bank AG              Große Elbstraße 27              22767 Hamburg              GermanyPhone:        +49 (0)40 / 668649-0Fax:          +49 (0)40 / 668649-49E-mail:       info@varengold.deInternet:     www.varengold.deISIN:         DE0005479307WKN:          547930Listed:       Regulated Unofficial Market in Berlin, Dusseldorf, Stuttgart;              Open Market (Entry Standard) in Frankfurt End of Announcement                             DGAP News-Service ---------------------------------------------------------------------------