South Africa´s Standard buys into Russian bank

Standard Bank, Africa’s biggest lender by assets, is to take a 33% stake in Troika Dialog, Russia’s second-largest investment bank, in a deal that marks the first foray by a foreign bank into Russia’s financial sector since it plunged into crisis. The combination, which requires regulatory approval in South Africa and Russia, would see Johannesburg-based Standard swap a $200m convertible loan and its business in Russia, worth about $100m, for a 33% stake in Troika Dialog.

http://ftalphaville.ft.com/blog/2009/03/06/53270/sas-standard-buys-into-russian-bank/

At least Russia has some commodities to offer in the case of the cases. What has the US to offer ?

 

1) ?........Decent quality bourbon and whiskey?
2) Mergers aren't supposed to happen during bear markets.
3) When they do, it tends to be bearish. This "deal" should be no different.
4) When foreign investors buy foreign assets........yada, yada, yada.

 

1) Prefer whiskey.
2) The deal will unite Troika’s stock-broking and advisory business with Standard’s experience in corporate banking, for which it holds a licence in Russia. It would also afford the combined bank the chance to participate in consolidation expected to take place in Russia’s troubled financial sector.
3) Happened already with Renaissance Capital :

Troika’s main rival, Renaissance Capital, was forced to sell a 50 per cent stake in itself for $500m to Mikhail Prokhorov, the Russian billionaire, at the height of Russia’s stock market collapse in September.
4) I recall your last year´s comments. Thanks by the way !