Russian Government Intends To Sell 9% of Sberbank

Decision on the privatization of Sberbank, owned by the Bank of Russia has been adopted. What is the volume of the package, the timing and method of sale is still unknown. According to Vice- Premier Igor Shuvalov, the Government consulted on this issue with the President and Prime Minister of the Russian Federation. 

Formerly it was known that the share will be 9 percent. But, as stated by Shuvalov "the package may be more complicated." 

Now, according to the law "On the Central Bank " the share of fixed capital can not be less than 50 percent of the voting shares plus one. Reducing of this share will need amendmets to this law. 

German Gref, has offered to privatize Sberbank some years earlier. He noted that "the State is sufficient to have 25 per cent plus one share of Sberbank." Gref suggested starting with a declining share of the Central Bank to 50 percent plus one share. 

"Sale of state-owned shares in major banks is a part of governmental plan selling asset for budget replenishment. In August 2010 a list of 11 major assets for possible privatization in 2011-2013 was agreed, in addition to VTB and Sberbank state blocks of shares in Rosneft, Transneft, Sovkomflot, Agricultural Bank, Rosagroleasing, Rosspirtprom, UGC, FSK and RusHydro were added to this list. 

German Gref said in September that it was preferable to sell the government stake in the market than selling it to a strategic investor. What will ultimately be decided is yet unknown.