Canara Bank has entered into a share sale agreement with the State Bank of India (SBI) to sell its stake in Commercial Indo Bank LLC (CIBL), Moscow, Russia.

CIBL is a joint venture in which SBI holds 60% and Canara Bank the remaining 40%. 

Indianbankingnews.com was the first to report that SBI was going to buy out Canara Bank's stake in the joint venture company in Russia.

The JV, incorporated in 2003, has a net worth of Rs 215.91 crore as of 31 March 2022.

Canara Bank informed the stock exchanges on Friday that it had transferred its entire stake in CIBL to SBI on 30 November 2022..

"Based on share sale agreement and with the consent of Central Bank of Russia, entire shares held by Canara Bank have been transferred to SBI on 30.11.2022 However, consideration in USD as agreed by the parties is not yet received," said Canara Bank in its regulatory filing.

The transaction is expected to be completed on or before 31 March 2023.