Russian state bank VTB buys more grain trade infrastructure

Tantalus Systems Holding

03/06/2019 08:52

MOSCOW, June 3 (Reuters) - Russia's second-biggest bank VTB
 VTBR.MM  said on Monday it was buying a controlling stake in
Russian railway holding company RTC, a major transporter of
grain and timber cargo. 
    The state-controlled bank has been expanding its holdings in
grain infrastructure in recent months, which some traders have
interpreted as a sign of the Russian government's growing
involvement in the sector.  urn:newsml:reuters.com:*:nL5N2095AO
    VTB said its acquisition of 50% plus one share in RTC, which
manages a fleet of 68,000 freight cars, would link up its other
grain export and trade logistics, making Russia's supply chains
more effective and globally competitive. 
    "Russia in recent years has significantly increased the
volumes of wheat and other grains it produces and exports, and
based on these indicators is in the top three globally," VTB
said in a statement.
    "This has taken on a strategic character for national
agriculture and the economy of the country as a whole," VTB
said. 
    In February, VTB surprised the market by buying its second
grain terminal in the Black Sea port of Novorossiisk, giving it
significantly more control over the main deep-sea grain export
hub in Russia, which is the world's largest wheat exporter. 
    At the time, Yuri Soloviev, VTB's first deputy chief
executive told reporters that the state bank sees the
possibility of working with the government to expand Russia's
grain export potential.    
    

 (Writing by Polina Ivanova; Editing by Louise Heavens)
 ((p.ivanova@thomsonreuters.com;))