Bank of Moscow valuation to be completed in 2 mths - Kuzovlev
MOSCOW. April 21 (Interfax) - A valuation of the Bank of Moscow will be completed in the coming two months, the bank's newly appointed president, Mikhail Kuzovlev, told journalists on Thursday.
"We plan to complete due diligence in the coming two months. After that we will formulate the bank's mid-term growth strategy and the plan of operations with the VTB group," he said.
Bank of Moscow will be developed as a separate brand, he said.
Andrei Kostin, the president and CEO of VTB , which owns 46.5% of Bank of Moscow shares, said VTB has no plans to entirely merge Bank of Moscow into the group.
"The position of the main shareholder - VTB - is to maintain Bank of Moscow as a powerful financial institution, primarily in the capital region," he said, adding that Bank of Moscow would be developed as a universal bank.
VTB plans to acquire 100% of Bank of Moscow shares. "In future we plan to consolidate a 100% stake, but we will do that in stages, conducting talks with all shareholders."
VTB already has a good understanding of Bank of Moscow's financial condition and is reviewing the work performed by the previous management team. "This audit of the previous management's performance is being conducted by shareholders and the new management team," he said.
There will be a number of synergies between the two banks, and Bank of Moscow clients will have access to VTB services, he said.
"The changes that have taken place will make Bank of Moscow stronger and allow it to pay additional dividends to shareholders, our partners and clients," Kuzovlev said.
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