OTP Bank Buying Ipoteka Bank

Banking

Photo by Jessica Fejos

OTP Bank yesterday said it signed a contract to buy close to 97% of Uzbek peer Ipoteka Bank from the state, according to napi.hu.

OTP will acquire the state's entire stake in the lender from the Ministry of Finance, purchasing 75% of the shares immediately and the remaining 25% three years later.

The deal is expected to close in the first half of 2023, pending regulatory approval.

Ipoteka Bank is Uzbekistan's fifth-biggest bank, with a market share of 8.5% based on total assets. It has more than 1.6 million retail clients and a "significant" corporate clientele, OTP said.

The Hungarian lender signed a memorandum of understanding on the potential acquisition of the majority stake in Ipoteka in September 2021.

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