UniCredit's Russian Exit: UAE Firms Eye Discounted Buyout
Deal News | May 28, 2025 | Zawya
Investment firms based in the United Arab Emirates (UAE) have approached Italy's Treasury with a proposal to purchase the Russian operations of the Italian bank UniCredit. The proposed acquisition would be through a special purpose vehicle and involves Dubai-based investment firms Asas Capital and Mada Capital, along with Inweasta, an investment firm with a presence in Russia. The consortium is looking to buy the Russian assets at a 60% discount to market value, a document seen by Reuters reveals. Inweasta's role would be crucial in easing the transaction process, given its expertise in cross-border dispute resolution and successful regulatory dealings in Russia, exemplified by its recent purchase of Czech group PPF's Russian insurance business. The move comes as UniCredit faces pressure from the Italian government to swiftly exit Russia, a condition tied to its buyout approval of Banco BPM. UniCredit CEO Andrea Orcel is aiming for a smooth exit that does not devalue the company's assets, while still meeting regulatory and governmental demands.
Sectors
- Banking and Finance
- Investment and Private Equity
Geography
- Italy – Italy is the country where UniCredit is headquartered and whose government is involved in authorizing the disposal of the assets.
- Russia – The Russian operations of UniCredit are the focus of the acquisition proposal by the UAE firms.
- United Arab Emirates – The UAE is home to the investment firms proposing the acquisition of UniCredit’s Russian businesses.
Industry
- Banking and Finance – The sector is relevant as it involves the operations of UniCredit, a major Italian bank, and investment firms in a cross-border financial transaction scenario.
- Investment and Private Equity – The involvement of Asas Capital, Mada Capital, and Inweasta in the acquisition of Russian assets classifies this as a private equity and investment sector operation.
Financials
- 60% – The discount to market value at which the UAE consortium is proposing to acquire UniCredit's Russian business.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| UniCredit | Target Company | Company | An Italian banking group with operations in multiple countries, including the Russian commercial bank that is being sold. |
| Asas Capital | Bidding Company | Company | A Dubai-based investment firm involved in the proposal to acquire UniCredit's Russian operations. |
| Mada Capital | Bidding Company | Company | Another Dubai-based investment firm partnering with Asas Capital in the bid to acquire UniCredit's Russian operations. |
| Inweasta | Bidding Company | Company | An investment firm that operates in Russia and specializes in cross-border dispute resolution and regulatory approvals, supporting the acquisition proposal. |
| Italian Treasury | Government | Government | The governmental body that the UAE firms have approached with their acquisition proposal. |
| Bank of Russia | Regulatory Body | Government | The regulatory authority that must approve the transfer of UniCredit’s assets in Russia. |