After seeing its share price drop since the Russian invasion of Ukraine, Societe Generale tried, this Thursday morning, to reassure the markets by saying it was ready to absorb a scenario of expropriation of its Russian subsidiary Rosbank. “The group is fully capable of absorbing the consequences of a possible extreme scenario that would affect property rights over its banking assets in Russia,” he said in a statement.
The capital impact of such a scenario is “estimated at around -50 basis points of CET1 capital ratio and would not call into question the payment of the dividend for the 2021 financial year”, adds the group, while the markets are wondering precisely about its ability to pay dividends after the record results recorded last year. The market expected an impact rather between 30 and 40 basis points. “This difference can be explained technically, it does not fundamentally change the situation”, nuance an analyst.