Eurobank to Buy Piraeus Bank's Bulgarian Subsidiary
Thursday, 08 November 2018
Eurobank Ergasias SA on Wedneday announced that it has concluded an agreement with Piraeus Bank SA for the acquisition of Piraeus Bank Bulgaria AS (PBB), a subsidiary of Piraeus Bank, by Eurobank’s subsidiary in Bulgaria, Eurobank Bulgaria AD ("Postbank").
As of September 2018, PBB had total assets of 1.7 billion euros, total loans of 820 million and deposits of 1.3 billion euros, operating in retail and, mainly, corporate banking through a network of 70 branches and more than 900 employees.
The transaction strengthens Postbank's position in the Bulgarian banking sector, with a pro forma market share in excess of 10%, ranking 3rd in terms of total loans. After the completion of the transaction, Postbank will have total assets of more than 5 billion euros, total equity in excess of 600 million euros and, accounting for the expected fully-phased synergies, pre-provision income and net income in excess of 150 million and 70 million euros, respectively.