Promsvyazbank acquires SMP Bank

MOSCOW. Dec 30 (Interfax) - Promsvyazbank (PSB) has acquired Northern Sea Route Bank (SMP Bank) after buying out shares from Arkady and Boris Rotenberg, PSB said.

The deal includes SMP Bank subsidiaries, including Mosoblbank , which SMP Bank took over in a bailout in 2014, SMP Insurance and factoring and leasing companies.

"The deal will facilitate the implementation of PSB strategic objectives to scale the universal business model, and further expand the customer base and regional coverage, as well as supplement the line of financial services for customers, foremost with insurance services," PSB said.

PSB, which is owned by the Russian government through the Federal Property Agency, has been turned into a bank to service major government contracts and defense orders.