Support The Moscow Times!

Latest RenCap Firings Unlikely to Be the Last

Renaissance Capital filed a loss of $94 million for 2011. Maxim Stulov

Analysts warned Monday that privately owned investment bank Renaissance Capital would be forced into more redundancies, after it fired a second tranche of employees last week in the same month that it announced its biggest loss for 10 years.

The investment-banking arm of Renaissance Group intends to fire 12 percent of its staff, Vedomosti reported Monday. The firings began Thursday and continued Friday. About 40 people — 6 percent of employees — will leave the Moscow office.

Renaissance Capital, which is jointly owned by former presidential candidate Mikhail Prokhorov and the company's chief executive Stephen Jennings, filed a loss of $94 million for 2011.

About 10 percent of staff across the whole of Renaissance Group was laid off last autumn. The current firings are restricted to the investment bank.

"It's harder and harder for Renaissance Capital to compete with state banks like VTB Capital and Troika Dialog," said Investcafe analyst Yekaterina Kondrashova in a note Monday. "It's unlikely that these staff firings will be the last."

… 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.

Once
Monthly
Annual
Continue
paiment methods
Not ready to support today?
Remind me later.

Read more