VTB shares in Rosbank to be sold to Societe Generale
VTB, the second largest bank in Russia, had agreed to sell off its shareholdings in Societe Generale's unit in Russia. The SG subsidiary is Rosbank and the shareholdings amount to 10% of the total shares in the company. The sale would be a return of shareholdings to the French bank in exchange SG would be selling some of its assets to VTB.
The state-backed VTB purchased the Rosbank shareholdings back in 2010. It announced last May that the investment was not strategic in nature and was considering selling the shareholdings. The decision came after bribery charges were levelled at then Rosbank CEO Vladimir Golubkov. Golubkov was fired in a subsequent investigation.
The terms of the deal includ ethe sale of the Rosbank sale to SG and SG in return would sell to VTB shareholdings it has in other companies. Other assets in the sale include loans made to Russian firms and Russian properties in its portfolio There was no mention as to the monetary details in the deal.
Analysts estimate the VTB shareholdings in SG amount to USD300 million. At the initial purchase, there was also no mention of financial details. According to an anonymous source, the deal is scheduled to be completed by the year's end.