Sberbank CIB News

Sberbank completes deal to acquire from VEB the rights to claim $537 mln in loans issued to Sheremetyevo

20.09.2018

Sberbank announces that is has completed a deal to acquire the rights to claim loans of Sheremetyevo International Airport JSC (SIA) worth $537 mln. The credit facilities were provided by VEB to finance the construction of Sheremetyevo Airport’s Terminal D.

Sberbank has become the majority lender to SIA following the completion of this deal.

Alexander Vedyakhin, First Deputy Chairman of the Executive Board of Sberbank:
“We are delighted that this key deal has been successfully completed. SIA is a unique piece of infrastructure and we are certain that thanks to its current efficient management team it will retain a leading position in Moscow’s aviation hub. We are confident about the future growth of Sheremetyevo’s business and our cooperation with the company.”

Nikolay Tsekhomsky, First Deputy Chairman of Vnesheconombank and Member of the Executive Board:
“VEB completed its goal as a development institution – we facilitated the completion of a major infrastructure project in a strategic sector according to the principles of repayment and break-even operation. As one of Aeroflot’s key partners, VEB was the first to support the airline’s idea to create a terminal, which was later included in the overall infrastructure of Sheremetyevo Airport, by providing project financing. In doing this, our bank took on the primary risks related to the construction and launch of the project, which is now a landmark in the development of SIA and Aeroflot. These two companies have improved the quality of passenger services and achieved better financial results thanks to the project.”

The agreements reached with Sberbank will cut debt servicing costs, which will help achieve more effective management of operations at SIA.

Alexander Oleynik, Deputy General Director for Economics and Finance at SIA JSC:
“We are grateful to VEB and Sberbank for their many years of cooperation, and also for their work in the area of lending, which has helped Sheremetyevo International Airport to successfully develop. This deal allows SIA JSC to decrease the effective interest rate and increase the duration of our loan portfolio. We will use the capital that has been freed up to carry out SIA JSC’s investment programme.”

Under the project to construct the airport terminal Sheremetyevo D, in 2006 and 2008 VEB and special-purpose project company Terminal OJSC (with Aeroflot as its key shareholder) entered into loan agreements amounting to approximately $659 mln. Terminal D was opened in November 2009. In 2012, Terminal OJSC was reorganised through a merger with Sheremetyevo International Airport JSC.

Sberbank is Russia’s largest bank and a leading global financial institution. Sberbank holds almost one third of aggregate Russian banking sector assets, it is the key lender to the national economy and the biggest deposit taker in Russia. The Central Bank of the Russian Federation is the founder and principal shareholder of Sberbank owning 50% of the Bank's authorized capital plus one voting share, with the remaining 50% held by domestic and international investors. Sberbank has more than 145 million customers in 22 countries. Sberbank has the largest distribution network in Russia with almost 15,000 branches, and its international operations include UK, US, CIS, Central and Eastern Europe, India, China, Turkey and other countries.

The Bank holds the general banking license No.1481 issued by the Bank of Russia. Official websites of the Bank: www.sberbank.com (Sberbank Group website), www.sberbank.ru.

Sberbank CIB

Sberbank CIB1 is the corporate and investment banking business of Sberbank. Its key areas of activity are corporate finance (including trade finance), the documentary business2, investment banking services, trade operations with securities, and private equity. Sberbank’s corporate and investment banking business provides integrated financial solutions and investment advisory services to its clients, which include major corporations, financial institutions, sovereign states and federal and sub-federal government bodies and organisations.
 

1 On the basis of JSC “Sberbank CIB” and Sberbank.
2 Banking products and services provided by Sberbank.