Vice President Roman Abdulin said Gazprombank intends to use several debt instruments, including Eurobonds, syndicated loans and bonded loans (on the Russian market).
Alexander Sobol, deputy chairman of the bank's board of directors, said Gazprombank's IPO, to be held sometime in mid-2008, could be 15-20% of its charter fund, adding, however, that the figure was not final.
Russian banks are thought to be heavily undercapitalized and in need of funds to compete with Western firms.
Gazprombank, Russia's third-largest bank by assets, said earlier it intended to increase its charter capital through an additional issue of common shares, to use the proceeds to expand its business and market share, and to boost the volume of corporate lending.
Earlier this month, Gazprombank placed ruble-denominated Eurobonds worth 10 billion rubles ($377 million) with a 2010 maturity and an interest rate of 7.25% p.a.
