Sberbank completes sale of DenizBank

Sberbank completes sale of DenizBank

Sberbank announces that it has completed the sale of its entire 99.85% stake in DenizBank to Emirates NBD Bank.

In line with the sale and purchase agreement, the total revenue is 170.7 billion rubles, while Sberbank's investments totaled 148.0 billion rubles throughout its ownership. 

The deal was valued at 1.0х of DenizBank Group's consolidated under BRSA equity as of 31 December 2018. Thus, for the purpose of Sberbank's Russian Accounting Standards (RAS) reporting, gross profit from the sale amounted to RUB 22.7 billion and income tax payable of approximately RUB 4.5 billion.

In addition, Emirates NBD will purchase DenizBank's subordinated funding to Sberbank in the amount of approximately $1.2 billion. Additionally, DenizBank will repay interbank loans previously issued by Sberbank in the region of $1.1 billion.

Sberbank, Russia’s biggest bank by assets, bought Denizbank in 2012 for around $3.5 billion.