Integrating Tinkoff and Rosbank is interesting idea; looking into it, will reach decision soon - Potanin

MOSCOW. March 14 (Interfax) - Vladimir Potanin, the largest shareholder in Rosbank and TCS Holding, which controls Tinkoff Bank, said that he considers the idea of integration promising.

"The proposal to integrate Tinkoff and Rosbank seems promising. This could result in creating a universal banking group able to provide clients of both Rosbank and Tinkoff Bank with access to a unique set of financial services. We are looking into the proposal and will reach a decision in the near future," an Interros representative said, conveying Potanin's statement.

The board of directors of TCS Holding plans to propose that shareholders consider the integration of PJSC Rosbank into the Group, board chairman Alexei Malinovsky said on Thursday. An additional share issue would be the main source of funds for the integration, and an extraordinary general shareholders' meeting would consider the share issue. The transaction is subject to meeting the customary corporate preconditions, including due diligence and receipt of the necessary regulatory approvals.

TCS said that following the merger, the Group would become a top five participant in the financial market in terms of the balance of household funds; a top four player in terms of the size of the loan portfolio; and would be among the top five market participants in terms of total capital in the banking group, which would propel accelerated business growth, maintain high returns on capital, and maximize Tinkoff shareholder value.