The IPO, for which the bank is set to issue extra shares, will be held at the Moscow Interbank Currency Exchange, and its Global Depositary Receipts will be placed on the London Stock Exchange.
"We are interested in the volume of funds, whatever the size of the stake, and we are even ready to lose control of the bank," said Alexander Vinokurov, who owns a 62% stake in the bank, ranked among the 30 largest Russian banks in terms of assets and shareholders` equity.
He said the political situation in Russia, namely the upcoming parliamentary elections in December and a presidential poll in March, had determined the time frame for the IPO.
The bank has yet to choose the agency that will arrange the facility. "We are negotiating with leading companies that offer these kinds of services, and we hope to reach a decision in the coming weeks," the bank's president said.
Providing financial services to corporations, institutional and individual investors, the bank has its strategic lines in investment banking, including securities underwriting and advisory services, asset management, brokerage services and wealth management.
Russia has seen an IPO boom in recent years, with KIT Finance joining dozens of the most rapidly developing Russian companies, from a wide range of fields, in search of investment.
Vinokurov said that given the global mortgaging crisis, the bank, like many other Russian banks, had postponed international loans. He also said KIT Finance is planning a mortgage loan securitization to the tune of some $500 million, adding that the bank's mortgage loans total some $1.2 billion.
KIT Finance Investment Bank authorized capital stands at 3 billion rubles ($119 million). The stock is divided into 300 million ordinary shares.
