PRESS: Russia’s Credit Europe Bank put up for sale – sources

MOSCOW, Feb 9 (PRIME) -- Russia’s Credit Europe Bank, beneficiary owned by Turkish businessman Husnu Ozyegin, has been put up for sale due to worsening of the Russian–Turkish relations, Kommersant business daily reported Tuesday citing banking sources.

A search of a buyer started in mid-January, and Morgan Stanley is in charge of it, sources said.

A sale of the bank with a small discount to capital is preliminarily being discussed, Kommersant said. The bank’s capital amounted to 20.8 billion rubles as of January 1 under Russian Accounting Standards.

Credit Europe Bank has been operating in Russia since 1994. Dutch-based Credit Europe Bank NV, beneficiary owned by Ozyegin, holds 99.9% in the bank.

Relations between the two countries worsened after Turkey downed a Russian Su-24 jet in November. In response, Russia introduced economic restrictions against Turkey, including a ban on some food imports and a restriction of construction companies’ operation in the country, and also abolished a vis-free regime with Turkey.

(76.8614 rubles – U.S. $1)

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