Volga-Caspian joint-stock bank Vkabank

History

2020: Merge to Sovcombank

In November, 2020 it became known of accession of the Astrakhan Volga-Caspian joint-stock bank (Vkabank) to Sovcombank. The relevant decision was made by shareholders both credit institutions.

Reorganization is directed to simplification of structure of property, consolidation of the capitals of banks, achievement of the most effective use of their assets, improving competitiveness and the service qualities provided in the banking market, rationalization of management and cost reduction, says Sovcombank.

According to Interfax, at the end of March, 2020 Sovcombank closed the transaction on acquisition of 91% at group of key shareholders and managers. The cost of that transaction was not specified. By August 20, 2020 the Sovcombank possessed a 98.03 percent share in Vkabank.

The Sovcombank integrates with the Astrakhan Vkabank

Acquisition of VKA of Bank corresponds to our long-term strategy for purchase of qualitative banks of the smaller size for the attractive prices. Development in the region will amplify both in retail, and in corporate business segments — the co-owner and the first deputy chairman of the board of Sovcombank Sergey Hotimsky noted.

The transaction fits into logic of development of Sovcombank, the analyst of the Moody's agency Lev Dorf though at the price and it is insignificant considers, equity of VKA-bank – 1.2 billion rubles according to IFRS.

For Sovcombank Vkabank is a clear asset which will promote gain of positions of bank in the region, it is one of the oldest banks of the Astrakhan region which works with administration of Astrakhan, services the local enterprises and the organizations and also retail clients.

In its assets more than 80% occupy securities from most of which part – government bonds, and the capital adequacy ratio of bank exceeds 80% — Dorf in a conversation with Vedomosti told.[1]

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