On February 14, Sovcombank Merged With Vostochny Bank and the Latter Ceased to Exist

  • Banking
  • 16.02.2022 02:30 pm

Sovcombank closed the acquisition of Vostochny Bank on April 14, 2021. The operational integration of the banks was completed in 2021, and on February 14, 2022, Vostochny Bank accessed into Sovcombank, which became the legal successor to its assets and liabilities.

The integration of the two banks was one of the largest in Russia. During the integration, almost all the 3 million clients, depositors and borrowers of Vostochny Bank became clients of Sovcombank. 1 million loans totalling 76 billion roubles and a deposit and current account portfolio of 116 billion roubles were transferred to Sovcombank. Fifty-five percent of the staff of Vostochny Bank, 5 thousand employees, from branch employees to the management staff, joined Sovcombank.For example, the  Far Eastern, East Siberian and Ural Directorates of Sovcombank headed by a graduate of Vostochny Bank Kirill Durnikov, Dmitry Mayevsky and Tatiana Shevkunova. Sovcombank increased the availability of the bank's products and services in key regions of its presence, including Siberia and the Far East, by expanding its retail network by 264 branches of Vostochny. 

Sergey Khotimsky, First Deputy Chairman of Sovcombank's Management Board, said:

"Sovcombank has unique M&A competence, at the level of the best in the world. We know how to select an asset for the purchase not only by price but also by the expertise it brings us, which means we can save a lot of time on its creation. We know how to due diligence the quality of an asset quickly and reliably, to carry out fast transactions and even faster to integrate acquisitions into the group with minimal risk and concern for millions of customers and employees. The acquisition of Vostochny Bank is another confirmation of that."

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