The international rating agency Moody’s Investors Service maintained Vozrozhdenie Bank’s ratings at the level of B1

1 November 2017

Moscow, November 1, 2017: Moody’s Investors Service confirmed V.Bank’s long-term local and foreign-currency deposit ratings of B1 and Counterparty Risk Assessment of Ba3 at the same level and placed them on review for downgrade. This happened after the announcement that the planned merger with Promsvyazbank will not happen in 2017.

Maria Malyukova, Assistant Vice President — Analyst at Moody’s Investors Service, notes: “Vozrozhdenie Bank’s current B1 baseline credit assessment is underpinned by its healthy pre-provision earnings with a high share of stable commission income, a granular deposits base with limited reliance on market funding, adequate asset quality and sustained capital adequacy.”

V.Bank and Promsvyazbank have been integrating since 2015, when Promsvyaz Capital B.V. became the major shareholder of Vozrozhdenie Bank. Joint work enabled to obtain significant cost savings in both banks, to combine our technological competencies and strengthen market positions. At the same time, Vozrozhdenie Bank continues to operate as a stand-alone bank. Integration processes are aimed exclusively at the development of product and technology solutions and does not involve liquidity or capital issues of the banks.

We see excellent performance of Vozrozhdenie Bank in the last few quarters and continue to work in accordance with our plans on net profit and efficiency indicators. The bank’s risk management policy is in line with the best European practices and has always been conservative enough to ensure stable liquidity position, sound funding base and high asset quality," commented Acting Chairman of the Management Board Mark Nakhmanovich.

Vozrozhdenie Bank, a community bank for companies and individuals. Among the Top 30 Russian banks in the Central Bank’s rating, its network includes 118 offices in 17 regions of Russia and 2000 ATMs including ATMs of bank-partners. The bank provides its services to more than 1.3 mln individual and 42 thsd accounts of corporate clients, including savings accounts, payment handling, payroll management, mortgages, bank cards and business and consumer loans.

Vozrozhdenie Bank earned Rub 1.7 billion for 6M 2017 under RAS
S&P Global Ratings has changed Vozrozhdenie Bank’s ratings to “B+ / B”