National Bank TRUST to sell 1.18 trillion shares of VTB Bank

National Bank TRUST, a Russian financial institution, has revealed plans to sell up to nearly 1.18 trillion existing ordinary shares of Russia-based VTB Bank via an accelerated bookbuild.

The transaction will be executed by Citigroup Global Markets, J.P. Morgan Securities, and VTB Capital, who are acting as joint global coordinators and joint bookrunners.

According to Citigroup Global Markets, the books for the sale will immediately open and could close at short notice.

The company said that the final number of the shares involved in the transaction and the price per share to be sold in the sale will be decided after the completion of the bookbuilding process.

National Bank TRUST to sell 1.18 trillion shares of VTB Bank. Photo courtesy of Peruanec/Wikimedia Commons.

National Bank TRUST was established by the Central Bank of Russia for handling and selling non-core assets of financial institutions under the latter’s financial sector rehabilitation program.

In December 2020, National Bank TRUST acquired around 9.08% of the existing issued ordinary share capital of VTB Bank and views the sale as part of its portfolio management mandate.

National Bank TRUST has agreed that it will not offer, sell, or transfer any unsold ordinary shares of VTB Bank, for the period ending 60 days upon the closing of the sale, subject to customary exceptions.

VTB Bank will not get any proceeds from the sale.