MOSCOW: Russian state-controlled bank VTB plans to sell back to the market the shares it will repurchase from minority investors as part of a 16 billion rouble ($548 million) buyback, the head of its retail arm said on Friday.
Mikhail Zadornov, chief executive officer of VTB24, told a briefing VTB plans to sell shares back to the market but did not give any indication of the timing or pricing of the placement.
"It will be done at an optimal time," he said.
The announcement pushed VTB shares down 0.4 percent to 7.26 kopecks, reflecting the market's fear of stock oversupply, while before the news shares were trading in line with the MICEX index, which was up 0.4 percent.
VTB had promised to reimburse small investors who lost money buying shares in its 2007 IPO, buying out shares at the offer price of 13.6 kopecks. The lender plans to start buy back on March 12 and end on April 13.
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