Sberbank: Approached By Turkey's Garanti For Bid On GE Stake

OAO Sberbank (SBER.RS) has been invited by bankers to bid for General Electric Co.'s (GE) 20.85% stake in Turkey's Garanti Bankasi AS (GARN.IS), an official at the Russian lender said Tuesday.

"We also received an invitation to place a bid for this stake... but I don't see that we're going to participate," the official said, speaking on condition of anonymity in line with the bank's policy. "At the moment we haven't made a decision," he said, adding that Sberbank would likely achieve a better return on investment in Russia.

However, Sberbank could potentially end up bidding for the Garanti stake to gain insight into the Turkish banking sector and its practises, the official said.

Spain's Banco Santander SA (STD) and Italy's Intesa Sanpaolo SpA (ISP.MI) are also reportedly interested in the stake, according to news reports.

In a statement, Sberbank Deputy Chief Executive Anton Karamzin declined to comment on the transaction.

Company Web site: www.sberbank.ru

-By Will Bland and William Mauldin, Dow Jones Newswires; [phone]; [e-mail]