Raiffeisen Bank Faces Legal Setback Over Russian Investment Deal

Raiffeisen Bank International plans another appeal after a Russian court upheld a ruling ordering it to pay over 2 billion euros in damages related to a collapsed investment deal with Rasperia. Despite the financial setback, RBI is preparing a claim against Rasperia in Austria.

Raiffeisen Bank International (RBI) is preparing to mount another appeal following a Russian court's decision to uphold a previous ruling that mandates it pay over 2 billion euros ($2.28 billion) in damages for a failed investment venture. The verdict, difficult for a Western company in Russia, involves payment to Russian investment firm Rasperia.

The decision in St Petersburg left RBI's earlier appeal denied, prompting the bank to initiate a separate legal claim against Rasperia in Austria scheduled for the year's second quarter. Alongside battling legal seas, RBI maintains a significant financial presence in Russia, with 6 billion euros in operations.

The bank originally aimed to buy a stake in Strabag, navigating pressures from U.S. officials concerning Russian tycoon Oleg Deripaska. Ultimately, the deal's collapse led to U.S. sanctions affecting Russian firms. Despite the legal and financial challenges, RBI remains confident it can reclaim Rasperia's assets in Austria.

(With inputs from agencies.)