French bank Societe Generale halts operations in Russia

By Ovunc Kutlu

ANKARA (AA) – French multinational investment bank and financial services company Societe Generale announced Monday it has halted its operations in Russia.

"Societe Generale ceases its banking and insurance activities in Russia and announces the signing of a sale and purchase agreement to sell its entire stake in Rosbank and the Group’s Russian insurance subsidiaries to Interros Capital, the previous shareholder of Rosbank," it said in a statement.

The bank said it is leaving Russia "in an effective and orderly manner," ensuring continuity for its employees and clients.

It noted that the sale of its entire stake in Rosbank is subject to the approval of the regulatory and anti-trust authorities, and it is expected to be concluded in the coming weeks.

Societe Generale said the write-off of the net book value of divested activities from this move amounts to around €2 billion ($2.18 billion).

Russia's war on Ukraine, which began on Feb. 24, has drawn international condemnation, led to severe financial sanctions on Moscow, and spurred an exodus of global firms from Russia.