OTP Bank signs agreement to buy bank in Albania
OTP Bank on Monday said it signed an agreement to acquire 100% of the Albanian subsidiary of Greece's Alpha Bank from Alpha International Holdings Single Member, according to a report by state news wire MTI.
The purchase price has been agreed at EUR 55 million.
Alpha Bank is Albania's eighth-largest bank with a total asset-based market share of almost 5%.
The financial closing of the transaction is expected by the end of the second quarter of 2022, subject to obtaining all the necessary regulatory approvals.
OTP Bank acquired Société Générale Albania in 2018.
After the merger of the two Albanian subsidiary banks, the OTP Group's total asset-based market share will exceed 11%, which would make it the fifth-largest bank in the country. In terms of client loans, OTP is expected to become the second-biggest bank in Albania as these could grow by 50%.
Alpha Bank is Albania's eighth-largest bank with a total asset-based market share of almost 5%. It is active in both the retail and the corporate segments, operating a network of 34 branches covering all major cities.
OTP deputy CEO László Wolf said OTP Bank "has been looking for further growth opportunities" in Albania since it entered the market in 2018.
With the acquisition of Alpha Bank Albania, another "well-functioning, well-managed, constantly growing credit institution" is joining the OTP Group, he said.
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.