OTP Bank Rt decided not to submit a binding bid for a 99.75% stake in HVB Splitska banka d.d. because of concerns raised by the Croatian National Bank in its capacity as the country's competition authority, OTP said on Friday, the deadline for submitting the binding bids.
OTP decided against the bid after the concerns aired by the Croatian National Bank could not be worked through, OTP officials said.
The Croatian National Bank said that the acquisition of Splitska Bank by OTP , which already has a Croatian unit, could create a high level of concentration in certain areas of the country, endangering healthy competition. OTP said it had initiated talks to settle the concerns raised by the Croatian National Bank, but failed to reach an agreement satisfying to both parties.