OREANDA-NEWS. October 31, 2008. JSC VTB Bank completed the consolidation of 100 per cent holding of OJSC Bank VTB North-West shares, reported the press-centre of VTB.

The consolidation was launched in November last year when CJSC Bank VTB24, a member of VTB Group, announced an offer to purchase VTB North-West shares with a nominal value of RUR 1 for RUR 41.72 each or to exchange them for JSC VTB Bank shares at the rate of 1:361. The second stage of the consolidation process was the acquisition by JSC VTB Bank of VTB North-West shares under a statutory offer from April to June 2008 in compliance with Article 84.2 of the Joint Stock Company Law. Under this statutory offer, VTB North-West shareholders could sell the VTB North-West shares they held for RUR 45 each.

The statutory offer resulted in JSC VTB Bank having acquired during the statutory offer more than 10 per cent of VTB North-West shares and having totally gained more than 95 per cent of VTB North-West shares. Acting in compliance with the applicable legislation, JSC VTB Bank demanded from VTB North-West that its minority shareholders should sell the remaining shares to JSC VTB Bank for RUR 45 each.

Consolidation of 100 per cent of VTB North-West shares is an important step within the program of the bank’s integration with VTB Group.

VTB CEO and Chairman of the Board Andrei Kostin said: “The 100 per cent consolidation of VTB North-West shares will facilitate its efficient management and have its business fully integrated into VTB Group. Besides, it will enable us to most promptly and least costly complete the legal merger of VTB North-West with JSC VTB Bank once the necessary amendments relating to bank reorganization are made into the applicable Russian legislation. This will allow us to achieve the further development of our banking business in the North-West region according to VTB Group’s development strategy”.