The Bank of Russia on Thursday said it had agreed to sell bailed-out Otkritie Bank to the country's No.2 lender, state-owned VTB (VTBR.MM), for 340 billion roubles ($4.7 billion).
The deal consists of 233 billion roubles in cash and the remainder in OFZ treasury bonds, the central bank said.
The central bank bailed out Otkritie, once Russia's largest private lender, in 2017 as part of a years-long campaign to clean up Russia's banking sector. Otkritie had previously been linked with a possible sale to Italy's UniCredit or even a public stock market launch before sanctions torpedoed plans for anything more than a domestic transaction.
"The Bank of Russia's board of directors decided to sell 100% of shares in Otkritie Bank to VTB Bank," the central bank said in a statement.
"Independent assessor DRT assessed their market value in the range of 328-374 billion roubles."
