OTP closes Bulgarian Société Générale unit acquisition

MNB

OTP Bank on Wednesday said it closed the acquisition of the Bulgarian unit of Franceʼs Société Générale Group on January 15, with OTP expecting to complete the integration process of its businesses in Bulgaria by 2020, according to a report by state news wire MTI.

OTP Bankʼs Bulgarian unit DSK Bank signed an agreement to buy the unit on August 1, 2018. The unit, Société Générale Expressbank, has a 6.4% market share, making it Bulgariaʼs seventh largest bank.

Speaking at a press conference in Sofia on Wednesday, OTP chairman-CEO Sándor Csányi said the lender had acquired a "well-functioning, stable" bank in Bulgaria.

Expressbank has 136 branches, more than 1,500 staff and more than 200 ATMs, Csányi said. Last year, DSK had 357 branches, 4,780 staff and 900 ATMs, he added. OTP deputy-CEO László Bencsik said Expressbank had total assets of EUR 3.6 billion in 2017. Its stock of corporate loans came to EUR 1.15 bln, he added.

DSK Bank is Bulgariaʼs second-biggest bank by total assets, according to the Bulgarian National Bank.

Csányi said that OTP has already signed contracts to acquire banks in Albania and Serbia this year, and it is considering an acquisition in Slovenia. OTP Group is currently present in nine countries. It serves 18 million clients at 1,600 branches. 

Csányi also met with Bulgarian Prime Minister Boyko Borissov during his visit to Sofia, MTI reports.

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