Russia's VTB injects $97.5 mln in Ukrainian subsidiary's additional capitalization

REUTERS

The Russian bank will use funds received from the Ukrainian VTB Bank as the repayment of interbank loans and relevant interest to pay for the new shares.

Read alsoNBU receives another bid for acquisition of Russian Sberbank's subsidiary in UkraineThe Russian shareholder's decision could be related to sanctions imposed by Ukraine in March 2017 on Russian state banks' Ukrainian subsidiaries. The sanctions prohibit the withdrawal of capital in favor of parent structures, but do not ban additional capitalization.

UNIAN memo. VTB Bank has been operating in Ukraine since 1992. It ranked 15th in the banking system in terms of assets. Russian Vneshtorgbank's stake in the Ukrainian subsidiary has been more than 99.9% of shares since 2006.