Mintos settles case with Russian lender
Mintos has closed its case with Russian lender Revo after recovering €10.4m (£9.17m).
The case was settled following “proactive efforts to petition the Central Bank of the Russian Federation” requesting special permissions for Revo to accelerate its repayment to Mintos investors in payments larger than RUB10m monthly.
The Russian central bank agreed to these terms on the condition that total repayments amounted to a maximum of €10.4m. This represents 65 per cent of the lending company’s debt to investors on Mintos.
“Six months later and in line with the terms of its restructuring agreement, Revo Russia has repaid the agreed total of €10.4 million and we’re closing the case,” Mintos said in a note to investors.
Read more: Dozen lenders downgraded in latest Mintos risk index
“Any remaining outstanding amounts were declared as bad debt as per Mintos classification, and Revo Russia has exited Mintos.
“In our view, going ahead with the accelerated repayment plan agreed to by Revo Russia with the central bank and the attached conditions has led to the best outcome for investors, both in terms of the recovered amount and the speed of recovery.
“This outcome allows investors on Mintos to access and reinvest the repaid funds now to earn a return, instead of waiting several years to collect possibly a higher amount, which may be further impacted by additional regulatory uncertainties.”
Read more: Mintos sees investments climb in March
The money has now been distributed to the relevant Minto investors, the platform added.
“Since Revo Russia joined Mintos back in 2020, through interest and other payments, investors have earned more than €840,000,” Mintos added.
“We’ll continue working on recovering outstanding obligations to investors on Mintos from the remaining Russian lending companies. We appreciate your patience and understanding in this matter.”
Read more: Mintos recovers €10m from Russian lenders