German government looking into Raiffeisen-Strabag deal, reports Handelsblatt

FILE PHOTO: The logo of Raiffeisen Bank International is pictured in Vienna

BERLIN (Reuters) - Germany's economy ministry is looking into Raiffeisen Bank International's plans to buy a stake in Strabag, a construction firm linked to a Russian tycoon, news outlet Handelsblatt reported on Friday citing government sources.

Strabag has numerous German subsidiaries, which is how the German economy ministry, which has initiated an investment review, can become active, according to Handelsblatt.

The ministry was not immediately available for comment.

RBI wants to buy a stake in Strabag - linked to Oleg Deripaska - for 1.5 billion euros ($1.6 billion), a contested deal that has renewed international pressure on the Austrian lender.

(Writing by Miranda Murray, Editing by Friederike Heine)