Re-repurchase Agreement (RE-REPO)

You may pledge securities to obtain a loan. On a set securities repurchase date, without separate notification, you will pay the bank the repurchase price including interest, and the bank will assign the securities to you.

You may pledge securities of the Lithuanian Government, SEB Bank bonds, units of investment funds managed by the SEB Group or shares of some public limited companies. A detailed list and limits are available from the Financial Instrument Sales Unit at tel. (8 5) 268 1612 or e-mail finansurinkos@seb.lt.

Advantages

It is a really convenient and easy way to borrow money:

• we do not request any income certificates, and you don’t need to pledge property;
• you can conclude an agreement by phone and receive money on the same day;
• you retain your entitlement to dividends, coupon payments and disbursements as well as any other rights exercised by owners of securities.

Maturity

Maturity of your borrowing depends on the securities pledged. Longest term:

• in case of equity securities (shares) pledge, maturity is 6 months,
• in case of debt securities (bonds) pledge, maturity is 12 months.

Loan amount

The largest loan amount for:

• share agreements, is 50 per cent of the market value of relevant equity securities,
• bond agreements, it is as much as up to 95 per cent of the market value of relevant debt securities.

Interest and fees

The contract is made free of charge. The fee per agreement is LTL 50. Interest normally is equal to that in case of a consumer loan, however, it also depends on the amount of the deal, maturity, securities limit, etc.

Concluding an agreement

1. At any SEB branch conclude an Agreement on Repurchase of Securities and on Re-repurchase Deals. This agreement will be concluded free of charge and will not obligate you to enter into any deals.

2. After you sign the agreement, representatives of the Financial Brokerage Unit will call you to agree on the terms and will conclude a deal.