Piraeus Bank signed today a definitive agreement with Societe Generale regarding the acquisition of Societe Generale's total stake (99.08%) in Geniki Bank.
Piraeus Bank management is confident that the acquisition of Geniki Bank offers synergies to the enlarged Group and facilitates its forthcoming recapitalization. Mr. Michalis Sallas, Chairman of the Board of Directors of Piraeus Bank Group, stated:
"Following the acquisition of selected assets and liabilities of ATEbank, Piraeus Bank continues to play a leading role in the Greek banking sector's restructuring. The addition of Geniki Bank will further strengthen our capital and funding sources and improves our positioning for the upcoming recapitalization."
This agreement falls within the process framework that has been defined by the Bank of Greece and the Hellenic Financial Stability Fund (HFSF) aiming at the restructuring of the Greek banking system and strengthening its financial stability. The terms and conditions of the transaction have been approved by the HFSF. The transaction is expected to be consumated before the end of 2012 and is subject to final regulatory approvals.