VTB to sell part of stake in RCB Bank

25 September 2014

VTB to sell part of stake in RCB Bank

VTB Bank's Supervisory Council has approved an increase in the equity capital of Cyprus-registered RCB Bank Ltd through an additional issue of common shares. FC Otkritie is expected to acquire a stake in RCB Bank in the course of additional share issue.

The transaction is subject to approval by the Central Bank of Cyprus. Upon completion, FC Otkritie Bank is expected to own 19.85% of RCB Bank, while VTB Bank will own 46.29%., with the remainder held by minority shareholders.

"FC Otkritie joining the shareholder register will strengthen RCB Bank's standing in local and foreign markets," said Yuri Soloviev, First Deputy President and Chairman of VTB Bank Management Board. "VTB Group sees Otkritie as a strong partner and a strategic investor, with which it plans to continue to develop this Cypriot asset."

"We see this transaction as both a promising financial investment and an opportunity to develop Otkritie group's financial business in foreign markets," said Dmitry Romayev, President of FC Otkritie Bank. "Becoming a shareholder of a large bank in an EU member-state will help us expand our services and offer our clients the products and services they expect."

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RCB Bank Ltd was established on 1 August 1995. As of 30 June 2014, its assets amounted to over US$ 9 billion, owner equity to US$ 416 million, and profit for the first half of 2014 to US$ 36 million.

RCB Bank Ltd is a member of the Cyprus system of state bank deposit guarantees and offers the full range of banking services to individual and corporate clients. The bank has branches in Nicosia, Limassol and Luxembourg.