Erste Rejects Hungary's Raiffeisen Buyout Rumour
- 5 Feb 2015 8:00 AM
The Austrian owners of both Erste and Raiffeisen banks denied a Tuesday report that Erste Bank would buy the Hungarian subsidiary of Raiffeisen. HVG had cited various sources as saying the negotiations were at an advanced stage under the code name Zeus, and enjoyed government support.
Erste, as one of the largest banks in the region, seeks regular talks with all governments, including Hungary’s, the bank said.
Erste added that it is open to growth opportunities in Hungary, as evidenced by the takeover of BNP Paribas’s private banking unit in 2012.
However, the bank stressed that it is not focusing on Raiffeisen.
A merger of the two Austrian-based lenders would create the second largest bank in Hungary after OTP, with total assets and deposits at two-thirds the level of Hungary’s largest bank.
Portfolio reports that Erste’s Austrian and Hungarian leaders met with senior MNB officials some weeks ago.
Source: Hungary Around the Clock
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