The reorganization of Rossiyskiy Capital by taking over Ellips Bank has begun, the Bank of Russia’s press service reported.

The Bank of Russia announced the rehabilitation of Nizhny Novgorod-based Ellips Bank on December 24, 2013. The regulator authorized the State Depositary Insurance Agency (DIA) to be charge of Ellips Bank’s temporary administration. Later Ellips Bank was intended to be folded into Rossiyskiy Capital, which is under DIA’s control.

The power and authority of the Nizhny Novgorod-based lender’s shareholders were suspended, and its charter capital was cut to Rub 1.00. Later the lending institution was expected to get a capital injection using DIA’s funds. The Bank of Russia provided DIA with Rub 5.36 bln for primary purposes of rehabilitation so that Ellips Bank is able to make settlements with clients and restore its stable financial standing. As part of the rehabilitation Ellips Bank’s charter capital was increased to Rub 2 bln in March 2014.

In early June Rossiyskiy Capital completed an additional share issue, with Rub 6.6 bln raised. DIA bought all additional shares.