By Andrey Ostroukh
MOSCOW--Russia's second largest lender VTB Bank (VTBR.RS) is
considering a 100 billion rubles ($3.26 billion) new share issue by
September 2013, Deputy Prime Minister Igor Shuvalov said Friday,
Russian news agencies report.
The secondary public offering will dilute the state's stake in
the bank to around 50% from a current 75.5%, according to Interfax
news agency. This is in line with the Kremlin's plan to gradually
cut government stakes in the country's main companies by listing
their shares on the Moscow exchange.
The government won't take part in the share sale. However, Mr.
Shuvalov said eventually the state could sell its stake in VTB in
full, but didn't specify the time frame, the agencies report.
Russia's largest lender OAO Sberbank (SBER.RS) became the latest
privatization in September when the government sold a 7.6% stake
through a secondary public offer for $5.1 billion.
According to economy ministry estimates, privatization of state
stakes in major companies, including diamond miner Alrosa
(ROSA.RS), VTB Bank and tanker fleet Sovcomflot, could generate at
least RUB427 billion this year.
It will allow the finance minister to increase budget spending
on social and transport infrastructure projects, using non-oil and
gas funds, Russia's Finance Minister Anton Siluanov said earlier
this week.
Interfax Agency website: www.interfax.ru
Write to Andrey Ostroukh at andrey.ostroukh@dowjones.com