Expobank has wrapped up the acquisition of Royal Bank of Scotland Bank, a Russian subsidiary of Royal Bank of Scotland Group, Expobank reported, specifying that the deal was completed routinely after approval with the Bank of Russia.
The decision to divest the Russian subsidiary was taken in line with RBS Group's strategy aimed at leaving some markets in an effort to focus on business expansion in the UK, Expobank noted in a press release.
To remind, in February 2015 Royal Bank of Scotland claimed that in order to restructure business and save funds it intends to scale back investment activities in 25 countries in Asia and the Middle East, including in Russia. News broke in November that Expobank, whose beneficial owner is renowned banker Igor Kim, agreed to buy the Russian subsidiary of RBS.
Expobank board member Kirill Nifontov, who chaired the bank's management board at that time, said that the deal is advantageous as Royal Bank of Scotland generates profit and holds quality assets.
For the record, net profit garnered by RBS's Russian subsidiary in 2015 reached nearly Rub 2.3 bln. Meanwhile, according to the media, the parent bank, RBS, suffered a net loss of $2.77 bln in 2015 for the eight straight year.
"We've dealt with international financial institutions for quite a long time, and we have a good reputation among M&A counterparties. We bought the bank with a premium corporate client base, which fully suits Expobank's development strategy. I am confident that we'll provide customers with quality services and a much broader area of business," Expobank quoted Nifontov as saying in today's press release.
Royal Bank of Scotland Bank is planned to be folded into Expobank until end 2016.
In early March 2016 Alexei Sannikov substituted Kirill Nifontov as Expobank's management board chairman. The media specified at that time that Nifontov would focus on new M&A deals both in Russia and Europe.
