VTB merges European subsidiaries under one license, estimates saving at 40 mln euros per year
MOSCOW. Jan 9 (Interfax) - VTB Group has completed the merger of its European subsidiaries in Germany, Austria and France under a single banking license into VTB Bank (Europe) SE with its head office in Frankfurt-au-Main, VTB said in a statement.
The decision to adopt an innovative legal form of SE or Societas Europaea, i.e. a company registered in accordance with the corporate law of the European Union, is consistent with VTB's strategy to develop the group's presence in Europe, one of VTB's core regions outside of Russia," VTB said.
The merger process, including closure of the office in France and the registration of a branch in Austria, has been approved by the European Central Bank and the local regulators.
An on-line retail platform VTB Direktbank will also be part of VTB Bank (Europe) SE while the Paris office has been closed.
"The reorganization will lay the groundwork for a strategic realignment by the bank, creating a consistent legal, business and support infrastructure. This centralization will allow the bank to make its entire product portfolio available to all clients across Europe, to attract the best talent to our bank and to optimize resources," the bank said.
The bank estimates that the restricting will save approximately 40 million euros per year or around 40% of the current cost base of its European operations. The new setup will also enable significant efficiencies in managing liquidity and capital resources, VTB said.