VTB Bank stock sinks below nominal value amid Ukrainian strikes on Wildberries

Russian state bank VTB shares plummeted to an unprecedented all-time low on the Moscow Exchange following Ukrainian drone strikes on Wildberries and Ozon retail hubs, according to The Moscow Times on August 26. The bank, Russia's second-largest by assets, saw its shares drop to 49.86 rubles per share, falling below its nominal face value for the first time ever.

VTB's shares lost 3% in a single day, 11% since early August, and 45% year-to-date. Since its peak in 2015, the bank has lost 88% of its market capitalization, amounting to a loss of 4.7 trillion rubles, or $56.2 billion. Despite holding 35 trillion rubles in assets and managing 8.5 trillion rubles in retail deposits, VTB is now valued at just 646 billion rubles, three times lower than the market cap of Labubu doll franchise.

Analysts at Solid Investment IFC attribute VTB's balance sheet issues to significant commitments to Wildberries. In May, the bank announced a strategic partnership with the marketplace. However, after Ukrainian strikes, Wildberries lost a third of its warehousing capacity, leading to substantial asset losses. VTB also holds a large stake in Ozon, another major target of Ukraine's drone campaign.

Ozon shares have dropped 45% since early summer, potentially forcing VTB to provide emergency credit lines to the retail company. VTB has been struggling with increasing credit defaults throughout 2025, with non-performing assets on its balance sheet rising by 1.5 times to 14.2%, surpassing the Russian banking sector's average ratio by a third.

Recent Ukrainian strikes hit major Ozon distribution centers across three Russian regions, causing billions in direct damages. Total losses from the strikes, including destroyed inventory, are estimated at up to 1 trillion rubles. The ongoing strikes have led to sharp declines in Ozon shares on the Moscow Exchange, impacting Russia's retail and banking sectors.