(Updates with core tier 1 capital in third paragraph)

Nov. 1 (Bloomberg) -- Landesbank Hessen-Thueringen’s owners have agreed on converting the state’s silent participations to boost the lender’s capital, according to a joint e-mailed statement.

Helaba’s owners, including the states of Hesse and Thuringia and regional savings banks, have sent a preliminary contract to German financial regulator BaFin.

The adaptation of the silent participations should give Helaba a core tier 1 ratio of about 10 percent, Hesse’s Finance Minister Thomas Schaefer said in the statement.

--Editor:

To contact the editor responsible for this story: Aaron Kirchfeld at akirchfeld@bloomberg.net