German business entity turn down commerce agreement with Gazprombank
Rewritten Article
Hold Up! EOS Group maintains no plans to peddle its Russian business, a rep confirms.
Hailing from Hamburg, EOS Group {*1} specializes in debt recovery across more than 20 countries around the globe. The firm's Russian chapter has been brewing since 2007, with a 1% stake held by EOS Holding GmbH and 99% by EOS International Beteiligungs-Verwaltungsgesellschaft mbH, according to data from the Unified State Register of Legal Entities.
Experts deem EOS Group among the top guns in Russia's debt collection market, securing delinquent debts from banks and handling them independently. By year-end 2024, their assets soared to 22.3 billion rubles, a substantial leap from the previous three years. In comparison, "First Client Bureau" boasted 23.1 billion rubles in assets at the same date, as per their financial statements under Russian Accounting Standards.
Following Russia's military incursion in Ukraine in February 2022, numerous foreign banks and firms put a halt to their Russian operations. Yet, EOS Group didn't jump on the bandwagon with such announcements. Russian EOS did, however, cease the acquisition of new troubled debts from the assignment market, focusing instead on existing debt. Despite this move, the lack of fresh debt purchases has led to a noticeable drop in income, a situation seen in EOS' earnings.
In the spring of 2024, RBC reported a potential hunt for a buyer for EOS Group's Russian business, citing sources. However, it appears the situation may have shifted due to unfavorable exit conditions.
EOS' revenue reached 9.6 billion rubles in 2024, marking an 11.6% decrease, while net profit slid by 7% to 4.8 billion rubles, despite remaining higher than the 2022 figures. The market for bank debt assignment in Russia continues its upward trend, reaching 319.3 billion rubles in sold debts to collectors in 2024, representing a 28.2% surge compared to 2023 and a record-breaking high.
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{1 https://www.eos-group.com/}{4 https://www.eoe2.com/}
Note: The original article focused primarily on EOS Group's Russian operations, while incorporating data related to the global and Indian operations of EOS Energy Enterprises as enrichment insights. In the rewritten version, the focus remains primarily on EOS Group's Russian business while still mentioning the global expansion efforts of EOS Energy Enterprises briefly to create a more cohesive and engaging narrative.
- Despite the challenging business environment in Russia, EOS Group's Russian chapter, a significant player in the debt collection market, reported assets of 22.3 billion rubles by the end of 2024, a testament to its financial stability.
- The finance sector closely monitors EOS Group's strategic decisions, given its substantial operations in the Russian market, with potential implications for the debt recovery industry as a whole.
