In late 2005, state-owned VTB increased its stake in Promstroibank to 75% plus three shares.
"The reorganization of VTB and procedures for the affiliation of Promstroibank will be discussed," a spokesman said.
He said the process needed a denomination of the value of VTB's shares to implement a common share regime, agreed to by the banks earlier in the year, and amendments to its charter and articles.
VTB, whose principal shareholder is the Russian government, with a 99.9% stake, is one of Russia's largest banks, with shareholder equity of $5.97 billion and assets of $40.8 billion as of March 31 (an 11.1% increase, year-on year).
VTB said in July its consolidated pre-tax profit rose 280%, year-on-year, in the first quarter of 2006 to $375 million.
Promstroibank, which has 54 branches in 26 regions in Russia, posted a pre-tax profit of 4.3 billion rubles (about $140 million) in 2005, up 24.6%, year-on-year.
The bank's shareholder equity increased 61.2% in 2005, to 14.43 billion rubles (about $490 million) from 8.95 billion rubles (about $283 million) in 2004.
Promstroibank is ranked by the Central Bank of Russia among the country's top 30 banks.
