12 Nov 2018 16:26

Sovcombank completes merge with RosEvroBank

MOSCOW. Nov 12 (Interfax) - Sovcombank has completed its merger with RosEvroBank, Sovcombank said in a statement.

Ilya Brodsky, previously chairman of RosEvroBank's management board, has been appointed president of Sovcombank. He will manage the bank's operations with corporate clients. Sovcombank's management board chairman Dmitry Gusev will continue as CEO.

The merged bank has already unified the entire retail product line and the segment for working with medium and larger business has been completely integrated into Sovcombank.

Sovcombank said that nothing with change for RosEvroBank clients other than the name and bank details: the rates of existing deposits on loans will be maintained.

Sovcombank increased its equity stake in RosEvroBank from 75% to 90% in August 2018. Its share of RosEvroBank voting shares has risen to 100%. RosEvroBank has 9.99% of its own non-voting shares.

The principle shareholders in Sovcombank are brothers Sergei, Dmitry Khotimsky (37.9%) and chairman Dmitry Gusev (7.5%), the chairman of Sovcombank's supervisory board and owner of the Hoff hypermarket chain Mikhail Kuchment (7.9%), co-founder of Sovcombank Mikhail Klyukin (12.9%) and the co-founder of Riga Lend Alexei Fisun (21%). Sovcombank concluded additional share offering for foreign investors and shareholders of the bank in August 2018. The bank has not yet officially declared the new distribution of shareholder capital.

Sovcombank was Russia's 13th largest bank by assets at the end of Q3 2018 according to the Interfax-100 ranking compiled by the Interfax Center for Economic Analysis and RosEvroBank was 42nd.