Russia's Sberbank 'to buy Troika Dialog for $1 bln'

3rd February 2011, Comments 0 comments

Russia's state bank Sberbank will buy private investment bank Troika Dialog for over a billion dollars, a report said Thursday.

Troika Dialog has been valued by the two sides of the deal at $ 1.25 billion, said Vedomosti daily, citing unnamed sources. Sberbank will first purchase 80 percent of the bank with the rest acquired in two to three years, it said.

Some sources indicated to RIA Novosti news agency on Wednesday evening that a deal has already been signed but will not be made public due to Sberbank's privatisation plans for 2011.

A spokeswoman at Troika Dialog declined to comment on "rumours".

The investment bank was founded in 1991 and is controlled by its management, namely its CEO and chairman Ruben Vardanyan. Standard Bank of South Africa has owned a 36.4 percent stake since 2009.

Standard Bank will be the first to sell its Troika Dialog stake to Sberbank, Vedomosti said.

Troika Dialog holds stakes in several key Russian companies such as major auto manufacturers AvtoVAZ and KAMAZ. It has also managed IPOs of key companies like aluminium giant RusAl and AFK Sistema.

Sberbank is Russia's largest bank controlled by the Russian Central Bank. In December, its chairman German Gref said that the state will sell seven percent of Sberbank in 2011 under the announced privatisation programme.

© 2011 AFP

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