JSCB RosEvroBank (JSC) and PJSC Sovcombank said March 13 that their shareholders decided to merge the two lenders.
Sovcombank, which already owns a 45% stake in RosEvroBank, will acquire another shareholding of least 35% from REG Holding, which represents the lender's Russian shareholders. In addition, RosEvroBank's management board head, Ilya Brodsky, will convert most of his shares into shares of the merged bank and will join its management bodies, including the supervisory board. The banks will continue to work independently until the end of 2018.
The planned merger will create a top-three private bank in Russia, with assets of more than 1 trillion Russian rubles and capital exceeding 100 billion rubles, the lenders noted.
As of March 13, US$1 was equivalent to 56.95 Russian rubles.
