The supervisory council of Vneshtoorbank (VTB) approved on Wednesday the sale of part of its stake in RCB Bank, Ltd., to Russian bank FC Otkritie.

FC Otkritie is expected to take up 19.85 percent of RCB Bank, leaving VTB with 46.29 percent of the company and 33.86 percent held by minority shareholders.

"FC Otkritie joining the shareholder register will strengthen RCB Bank’s standing in local and foreign markets," Yuri Soloviev, the first deputy president and chairman of VTB Management Board, said. "VTB Group sees Otkritie as a strong partner and a strategic investor, with which it plans to continue to develop this Cypriot asset."

Dmitry Romayev, the president of FC Okritie Bank, said becoming a shareholder for an EU member-state bank will help FC Okritie to expand its services to its clients.

The Central Bank of Cyprus would need to approve the transaction before the sale is final.