Barclays Bank announces that, following the approval of the Central Bank of Russia, it has completed the acquisition of 100% of Expobank, a Russian retail and commercial bank. Expobank has now become part of Barclays Global Retail and Commercial Banking (GRCB) Emerging Markets business.
The acquisition of Expobank advances Barclays strategy of increasing its presence over time in emerging markets with good growth characteristics. Expobank has a substantial presence in Moscow and a growing footprint in St Petersburg.
Following the acquisition, Andrey Vdovin and Kirill Yakubovsky, co-owners of Petropavlovsk Finance remain as members of the board of directors. Sergey Radchenkov remains as the CEO of Expobank and will report to Ahmed Khizer Khan, the CEO of Barclays GRCB Emerging Markets business.
Barclays will announce plans for its Russian operations in due course.
I am delighted that we have completed this transaction successfully and on schedule. We have far-reaching plans for Russia, and we are here for the long-term. Expobank will provide an excellent platform for advancing Barclays global growth strategy in this dynamic and exciting market, says Frits Seegers, CEO, GRCB, Barclays.
Since its formation in 2007, Barclays GRCB Emerging Markets business has grown spectacularly and achieved solid results in its 12 markets with an expanding footprint. Russia is a dynamic, exciting market with a high growth rate, and the acquisition of Expobank is an excellent fit with our overall strategy, says Ahmed Khizer Khan, CEO, GRCB Emerging Markets, Barclays.
My team and I have been working very closely with our counterparts from Barclays to complete this transaction. We share the same vision for the future of the Bank and its strategy, and we work together seamlessly. I am delighted and proud to be joining the Barclays team and I look forward to driving its business forward. Together, we can do great things, says Segei Radchenkov, CEO, Expobank.
In March 2008 Barclays announced that it had entered into an agreement with Petropavlovsk Finance (Limited Liability Society) to acquire 100% of Expobank. The total consideration for the transaction is US$745 million (373 million) which Barclays has financed out of existing cash resources and remains subject to adjustments through completion accounts.