Erste buys out Ukraine Prestige Bank partners for $104 mln
Erste Bank AG of Austria, which makes more than half its profit in eastern Europe, bought out its partners in Ukraine Bank for $104 million to assume full control of the lender.
Erste raised its stake in Kiev-based Prestige to 100% from 50.5%, the company said today in an e-mailed statement. Vienna-based Erste agreed in July to pay $37 million for majority control of Prestige. „We are even more convinced about the future growth potential of the market,” Chief Executive Officer Andreas Treichl said in the statement.
Erste hopes to have 4% to 5% of Ukraine's banking market by 2009, the CEO added. The Austrian lender also pledged to more than double its investments in Ukraine. Erste expects to invest €300 million ($396 million) in Prestige by 2010, up from the €118 million that it promised in July. (Bloomberg)
ADVERTISEMENT
Number of Liquidations Increasing Rapidly
Orbán's Salary Increased to HUF 4.178 mln
Hungary Tops out HUF 300bn Munitions Complex
Around 2,800 Events Take Place in European Capital of Cultur...
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
