Erste Group will be taken over by Santander Bank Polska. A package worth EUR 7 billion

Erste Group has signed a contract regarding the purchase of 49 percent. at Santander Bank Polska and 50 percent at Santander TFI for a total of EUR 7 billion – Erste said in a press release. Erste expects the takeover to be finalized at the end of 2025

According to the announcement, an agreement was signed on the purchase of shares in Santander Bank Polska for cash in the amount of PLN 584 per share (about 6.8 billion euros in total) and 50 percent. shares in Santander Investment Funds Society for cash of around EUR 0.2 billion from the Santander Group. In total, it gives EUR 7 billion.

Before finalizing the planned acquisition, the Santander Group plans to buy a 60 % package. at Santander Consumer Bank, currently belonging to Santander Bank Polska, to have 100 percent. shares in this company.

It is expected that after this transaction, Santander Bank Polska will have over EUR 37 billion in net loans, over EUR 50 billion of customer deposits, about EUR 67 billion of assets based on the data of Pro Form for December 2024.

“Erste Group intends to purchase 49 percent of ordinary shares Santander Bank Polska from the Santander Group for cash in the amount of PLN 584 per share, which will make the Erste Group the largest single shareholder of the bank” – wrote in the communiqué.

“The proposed acquisition of 49 percent of shares will be provided by Erste Group de facto control over Santander Bank Polska as its single largest shareholder with the right to nominate members of the supervisory board, and through its representatives in the Supervisory Board – board members.

It was stated that the closing of the transaction is subject to customary regulatory approval, in particular on the part of the Polish Financial Supervision Authority (KNF) and antitrust approval on the part of the European Commission.

ERSTE expects the acquisition to be finalized at the end of 2025, provided that the regulatory approval and other preliminary conditions are obtained, including the finalization of Santander Consumer Bank sales to the Santander Group. (PAP Biznes)

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