„Banca Transilvania informs its investors that negotiations continue regarding the purchase of Bancpost. Further details regarding the transaction will be communicated after finalizing the necessary stages and receipt of the approvals. Finalization of negotiation is estimated for the end of October of the current year”, the press statement reads.
Banca Transilvania is to sign the exclusive agreement to negotiate for Bancpost, after having competed with US investment firms Varde and J.C. Flowers over it, banking industry sources say.
After several months of talks, Eurobank, the main shareholder of Bancpost and its investment bankers handling the deal, Mediobanca and HSBC, have selected Banca Transilvania for final talks.
Banca Transilvania, established in 1994, in Cluj-Napoca, ranks second among banks in Romania, in terms of assets. In 2014, BT acquired Volksbank. BT’s shareholders include, among others, the European Bank for Reconstruction and Development (EBRD) and the International Finance Corporation (IFC), a member of the World Bank Group.
Bancpost was established in July 1991. In November 2003, Eurobank (Eurobank Ergasias SA) became majority shareholder of Bancpost. Eurobank Group is a European bank institution with total assets of EUR65.7 billion and a majority private capital. Early 2017, Eurobank decided to put up for sale Bancpost operations in Romania.