PNB Banka
| Company type | Private |
|---|---|
| Industry | Banking, Financial services |
| Predecessor | Norvik Banka |
| Founded | April 29, 1992 in Latvia |
| Defunct | August 15, 2019 |
| Fate | Designated "bank likely to fail" by European Central Bank; operations suspended |
| Headquarters | Riga , Latvia |
Area served | Latvia |
Key people | Grigory Guselnikov (principal shareholder), Oliver Bramwell (Chairman of the Board until 30 June 2019) |
| Products | Banking services for individuals and multinational corporations |
Number of employees | 606 (at Norvik Banka end of 2014) (2014) |
PNB Banka, previously known as Norvik Banka, was one of the longest-standing commercial banks in Latvia, founded on 29 April 1992. The principal shareholder was Russian entrepreneur Grigory Guselnikov.
History
PNB Banka maintained a branch network throughout Latvia and catered to a diverse clientele, including private individuals and multinational corporations. It ranked as the sixth-largest bank in Latvia based on asset size. On 15 August 2019, the European Central Bank designated it as a "bank likely to fail," leading Latvian authorities to suspend all transactions to prevent capital flight.
In October 2014, shareholders contributed €69.6 million to bolster Norvik Banka’s equity capital. Soon after this capital increase, the bank acquired a 97.75% ownership in Vyatka Bank, a regional Russian commercial bank operating in four regions and holding a dominant position in retail banking within Kirov Region. This transaction received approval from financial regulators in both Latvia and Russia.
The Norvik Group expanded its staff count from 1,002 employees at the beginning of 2014 (with 604 employed at Norvik Banka) to 1,640 by the end of that year (606 at Norvik Banka). In early 2018, Grigory Guselnikov and his family assumed direct control over Vyatka Bank, separating it from Norvik Banka’s operations. On 9 November 2018, Norvik Banka underwent rebranding to become PNB Banka, signaling a new stage in its corporate evolution.
In 2014, Grigory Guselnikov, the main partner of London-based investment firm G2 Capital Partners, acquired majority ownership of Norvik Banka.
Oliver Bramwell held the position of Chairman of the Board at PNB Banka until his departure on 30 June 2019.
Bank performance
By the close of 2014, Norvik Banka served over 86,500 active clients, placing it fifth among Latvian banks. Its total assets amounted to €996.4 million, reflecting a 26% increase (€203.5 million) over the year driven by a 19% growth in customer deposits (€139.5 million) along with an additional €69.6 million injected by shareholders.
The capital adequacy ratio advanced from 10.76% to 15.19%, while liquidity improved from 55.38% to 58.75%. As of June 2018, the bank’s assets totaled €618.7 million.