XacLeasing LLC Increases Its Capital
TenGer Financial Group LLC (TenGer) announced that its Shareholders and Board of Directors approved an additional MNT1.0 billion capital injection into XacLeasing LLC, Mongolia’s leading provider of leasing solutions for SME equipment. As a result, XacLeasing’s paid-in capital will be doubled to increase its solvency and enable the company to grow its MNT3.5 billion assets by more than fourfold over the course of this year.
Following the capital injection, XacLeasing will consolidate its position in the leasing industry. Improvements in systems, procedures and policies over the last 12 months have laid a sound foundation to profitably maximize funds. Meanwhile, XacLeasing has kept an eye on its overall risk exposures, reflected by its rate of loan loss that is far below the average rates of Mongolia’s banking industry.
This investment is another example of TenGer’s strong commitment to contribute to the economic development of the country by offering a full range of financial services through its subsidiaries.
Mr. Jargalsaihan Dambadarjaa, the newly appointed CEO of the company, said, “Equipment leasing is going to be the most important driver of our early industrialization process. The current dynamic growth due to the increase in post recession demand in almost all industries makes the leasing service a potential catalyst for economic development as private commercial banks did in early 90’s,” about opportunities that he sees for the company.
Through accelerating the development of the leasing industry in Mongolia, XacLeasing will foster Mongolia’s growth and tap into the large, arising markets for equipment leases for transportation, construction and mining sectors. XacLeasing will deepen cooperation with financial partners, equipment makers and mining consortia to broaden knowledge about the markets its clients operate in, and gain a better understanding of the equipment leasing to SMEs.
Mr. Jargalsaihan Dambadarjaa is an economist specialized in banking and stock markets with an extensive experience in management consulting in banking and financial organizations, in particular, in strategic planning and competitiveness. He has a vast experience in working in investment and commercial banking, finance, tourism and public sectors. Some of his past positions include CEO of Capital Bank, Chairman of the FIFTA, Deputy Director of Juulchin LLC and an experience with the Mongolian petroleum company. Mr. Jargalsayhan is a co-founder of the Mongolian first Rotary club and served as its President in 1995-1996. He also served as a Board member of the Mongolian Open Forum (2003-2007), the President of the Civic Union (2008-2009). Currently he is a General Secretary of the Mongolian National Commission of the Pacific Economic Cooperation and the President of Mongolians for Fair Taxes and Wise Spending, Mongolian Taxpayers’ Association.
TenGer Financial Group is a family of companies, namely XacBank, XacLeasing, XacSecurity, Horus Nomadic Solutions, built to provide banking, leasing, security and technology related product development. It is also will become a 50 percent shareholder of Prime General Insurance LLC. In 2009, TenGer launched its international expansion with a pilot equity investment in a microcredit company in Kyrgyzstan, and has been working to invest in financial institutions in Central Asia, Russia and China to build an international group of companies primarily engaged in delivery of financial services.
TenGer is owned by a group of local and international investors including ECM, BlueOrchard PEF, IFC, EBRD, Mercy Corps, Triodos Bank Group and local NGOs. For more information visit: www.tengerfg.mn.