Raiffeisen Bank chief announces what is happening with the sale of the Russian branch. “I did not give up”
The Raiffeisen Bank International logo seen on a residential building, in St. Petersburg, Russia, on May 5, 2023. Photo: Sopa Images, Sopa Images Limited / Alamy / Profimedia
The Austrian banking group Raiffeisen Bank International (RBI) has not yet found a buyer for his Russian businesses to be accepted by all parties, but continues with a list of interested candidates, RBI's Director General Johann Strobl, according to Reuters, announced.
The Raiffeisen Division in Russia is the largest creditor in Russia that is not targeted by Western sanctions, which makes a bank of vital importance for regulating commercial transactions with Russia, including for gas exports to Europe.
Raiffeisen has been trying for a few years to sell a participation in his subsidiary in Russia to a local buyer, in the hope that Moscow will raise a ban that blocks RBI to repatriate profits of billions of euros. In parallel, RBI is pressed by the US and the EU to reduce its activities in Russia, notes Agerpres.
“If we had reached the end of the list of potential buyers, we would have announced this,” said Johann Strobl, at a meeting with journalists.
“I didn't give up,” Strobl added.
In an attempt to take part of the profits blocked in Russia, Raiffeisen intended in 2023 that his Russian subsidiary took a participation in the Austrian construction company Strabag, a participation belonging to the company Rasperia Trading, which was owned by the Russian oligarch Oleg Deripaska. Fearing could violate American sanctions, Raiffeisen gave up that transaction.
In reply, Rasperia sued the Austrian bank and a Russian court decided that Raiffeisen must pay damages worth about two billion euros.
Currently, the Austrian authorities have asked the EU to unlock the Strabag share package, so that this package can be used to compensate Raiffeisen for the damage it has suffered in Russia, but diplomats and some Member States have expressed some restraints to this idea.
“We will see if the proposal receives the necessary political support in the EU,” said Strobl, adding that there is still the possibility that Raiffeisen will turn to an Austrian court to request that the participation in Strabag belonging to the Rasperia Trading company will be sold and the amount raised to be transferred to Raiffeisen.
“We are confident that we would win the case,” Strobl said.
