23 Aug 2019 17:24

Vozrozhdenie Bank boosts H1 IFRS profit 3.3-fold to 2.52 bln rubles

MOSCOW. Aug 23 (Interfax) - Vozrozhdenie Bank , which is controlled by the VTB Group, boosted net profit 3.3-fold year-on-year in H1 2019 to 2.52 billion rubles, the bank said in a report.

The bank reduced loan loss provisions to 446 million rubles in H1 2019, from 1.09 billion rubles a year previously. Net interest income fell 14.5% to 4.67 billion rubles.

The loan portfolio decreased slightly during H1 2019, to 154.3 billion rubles from 155.7 billion rubles. Customer accounts fell by 3.5% to 207.96 billion rubles and total equity rose, by 15.6% to 19.3 billion rubles.

Vozrozhdenie was Russia's 33rd largest bank by assets at the end of Q2 2019, according to the Interfax-100 ranking prepared by the Interfax Center for Economic Analysis. VTB was second.

VTB increased its stake in Vozrozhdenie from 85% to 96.3% ordinary shares in an offer in January 2019, entitling it to squeeze out the holders of the remaining 3.7% and consolidate 10% of the bank's shares. VTB bought 85% ordinary shares and 9.6% preferred shares for 9.7 billion rubles in October 2018.

Vozrozhdenie Bank had been controlled by brothers Alexei and Dmitry Ananyev through Promsvyaz Capital B.V. The Ananyevs put Vozrozhdenie up for sale on orders from the Central Bank of Russia (CBR) at the end of 2017 following the bailout of the brothers' Promsvyazbank (PSB) .