November 8 (SeeNews) - Romania’s Banca Transilvania [BSE: TLV] intends to acquire an initial stake of over 39% in Victoriabank, Moldova’s third-largest bank, the European Bank for Reconstruction and Development (EBRD) said on Tuesday.
This will be the first time a foreign bank investor has entered the Moldovan market since 2007.
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Banca Transilvania has requested approval of the acquisition from the banking regulators and other relevant authorities of Romania and Moldova, the EBRD, which owns a minority stake in the bank, said in a press release.
The EBRD increased its stake to 27.5% last year in a move to restore effective corporate governance and attract a strong strategic investor to Victoriabank.
As a result of the planned investment, Banca Transilvania and the EBRD will jointly hold a controlling stake in Victoriabank. In line with the law they will then offer to buy the remaining shares.
Banca Transilvania is the second-largest bank by total assets in Romania with the EBRD as a shareholder since 2001. Its shares were 0.47% higher at 2.13 lei on Wednesday at 1002 CET, on the Bucharest Stock Exchange, BVB.
(1 euro=4.5968 lei)
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