Raiffeisen Bank International AG Sells Priorbank JSC to Soven 1 Holding Limited

Vienna, 20 September 2024. Raiffeisen Bank International AG (RBI) has signed an agreement to sell its 87.74 per cent stake in Priorbank JSC and its subsidiaries to Soven 1 Holding Limited. This agreement concludes the negotiations announced in February 2024. The transaction is pending regulatory approval and is expected to close by Q4/2024.

The sale is anticipated to have a negative impact of approximately EUR 300 million on RBI Group's consolidated profit, primarily due to the difference between the purchase price and the book value of Priorbank JSC. Additionally, the impact on RBI Group's CET1 ratio, excluding Russia, is expected to be around -5 basis points.

Moreover, at closing, the transaction is expected to have a further estimated negative impact of EUR 500 million on RBI Group's consolidated profit. This will stem from the reclassification of historical FX losses and will not affect regulatory capital ratios.

Through this sale, RBI will exit the Belarusian market and reduce operational complexity, aligning with its de-risking strategy in Eastern Europe. Under new ownership, Priorbank JSC will operate independently.