Baring Vostok invests in Tinkoff Credit Systems
Baring Vostok Private Equity Fund IV invested 50 million dollars to support further growth of Tinkoff Credit Systems (TCS).
Along with TCS founder Oleg Tinkov, the shareholders of the bank are now three major international investment institutions: Goldman Sachs, Vostok Nafta Investment and Baring Vostok Private Equity Fund IV.
The shareholders of TCS are confident that the valuation of the bank will continue to grow at a high pace.
«Tinkoff Credit Systems is well positioned to expand its leadership in Russia’s credit card market due to its scalable business model, advanced risk management systems, and loyal customer base. Oleg Tinkov is a successful entrepreneur and we look forward to working with him, Oliver Hughes, and the rest of TCS’s talented management team.» – said Michael Calvey, senior partner of Baring Vostok.
«As I said before in TV program «Business secrets», Baring Vostok is the most successful investor in the CIS. This is a great honour for me to work with such an investor and personally with Michael Calvey», said Oleg Tinkov, Chairman of the Board of Directors of Tinkoff Credit Systems.
Tinkoff Credit Systems was established in 2006 by businessman Oleg Tinkov for remote customer service in the credit card market. In mid-2007 the bank began issuing credit cards. Goldman Sachs, an international investment bank, became a shareholder of the bank in 2007 and Vostok Nafta Investment Limited became a shareholder in 2008.
By April 2011, TCS had issued one million credit cards, and grew to over two million cards issued by April 2012. TCS is currently in 5th place among Russian banks in terms of credit card portfolio (25.5 billion), with a market share of 6.0%. Net profit under IFRS in 2011 amounted to $68 million. In March 2011, Fitch Ratings raised the credit rating of TCS to the level of B, and Moody's Investors Service in April 2011 raised its rating of TCS to the level of B2.