Enjoying ad-free content?
Since July 1, 2024, we have disabled all ads to improve your reading experience.
This commitment costs us $10,000 a month. Your support can help us fill the gap.
Support us
Our journalism is banned in Russia. We need your help to keep providing you with the truth.

Sberbank Prices Troika at $1.25Bln

Sberbank has appraised investment bank Troika Dialog at $1.25 billion ahead of its intended purchase, Vedomosti reported Thursday, citing unidentified sources.

That figure corresponds to 1.5 times Troika Dialog's capital, sources told the paper. An Interfax source close to the deal said earlier that the appraisal corridor would fall between 1.5 and 2 times the investment company's capital.

When asked whether a deal might be announced on Thursday, Troika Dialog president Ruben Vardanyan said: "We will not announce today, certainly. As long as there's no agreement, there's no deal."

Plans call for Sberbank to initially buy 80 percent of Troika Dialog — 36.4 percent from Standard Bank of South Africa and 43.6 percent from members of a partnership headed by Vardanyan, proportionally to the shares they own. He and top Troika Dialog management are expected to continue working at the company for another two or three years.

The other 20 percent of shares will be bought up from Troika Dialog employees based on the company's financial results, which should be a motivational factor after the change in controlling ownership, a Vedomosti source said.

Sberbank decided at the end of December that it was going to expand its investment business around Troika Dialog, a source told Interfax in January.

The bank has been making active preparations to develop its investment business for months. Sberbank had weighed the possibilities of creating a business from scratch or the purchase of established investment companies, either Russian or foreign.

Parties to the negotiations are not commenting officially on how they are progressing. Plans were for an official announcement to be made on Thursday at the Troika Dialog forum going on in Moscow. However, it was reported Wednesday that the announcement might be postponed.

The Sberbank supervisory board will approve the deal's details at a Feb. 25 meeting, according to sources close to the board.

… we have a small favor to ask. As you may have heard, The Moscow Times, an independent news source for over 30 years, has been unjustly branded as a "foreign agent" by the Russian government. This blatant attempt to silence our voice is a direct assault on the integrity of journalism and the values we hold dear.

We, the journalists of The Moscow Times, refuse to be silenced. Our commitment to providing accurate and unbiased reporting on Russia remains unshaken. But we need your help to continue our critical mission.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and you can be confident that you're making a significant impact every month by supporting open, independent journalism. Thank you.

paiment methods
Not ready to support today?
Remind me later.

Read more