VTB board approves TransCreditBank acquisition
MOSCOW. Oct 5 (Interfax) - VTB's Supervisory Board approved the phased acquisition of 100% of TransCreditBank on October 4, VTB said in a statement.
By year end 2010, VTB plans to acquire the majority stake of TransCreditBank from Russian Railways and other minority shareholders. The acquisition includes TransCreditBank and all of its subsidiary businesses including leasing, factoring (JSC TransCreditFactoring) and investment businesses (TKB Capital).
The Supervisory Board has set the purchase price equal to the ratio of no more than 2.2 of TransCreditBank's adjusted tier-one capital by the end of 2010.
"The acquisition of TransCreditBank is in line with both VTB's strategic plan to grow the Bank's market share in Russia and Russian Railways' objective to enhance the range of banking services offered to the Russian railway sector," said VTB Group President and Chairman of the Management Board, Andrei Kostin.