Eurobank, a subsidiary of Eurobank Ergasias Services and Holdings, has increased its ownership in Hellenic Bank Public Company by acquiring an additional 37.5% stake in the latter for approximately €750m ($780.7m).
The deal, completed this month after securing regulatory clearances, involved the purchase of 154,832,195 shares at €4.843 ($5.02) apiece.
Eurobank acquired 88,064,705 shares (21.33%) from Demetra Holdings for roughly €426.5m; 13,729,704 shares (3.33%) from Logicom Services for about €66.5m.
Additionally, Eurobank bought 53,037,786 shares (12.85%) from various Cypriot bank employee funds for a total consideration of around €257m.
Before this transaction, Eurobank directly held 55.96% of Hellenic Bank’s total issued share capital, with 231,014,806 shares.
Eurobank’s stake has now increased to 93.47%, with a total of 385,847,001 shares.
In accordance with Cypriot law, Eurobank has also submitted a mandatory buyout bid to the shareholders of Hellenic Bank to acquire up to 100% of its issued share capital.
The consideration offered for the remaining Hellenic Bank shares is €4.843 per share, payable in cash.
This development has been officially communicated to the Cyprus Securities and Exchange Commission, the Cyprus Stock Exchange, the Athens Stock Exchange, and the Board of Directors of Hellenic Bank.
The completion of the takeover bid is contingent on the approval of the Takeover Bid Document by the Cyprus Securities and Exchange Commission (CySEC), which will be reviewed following this announcement as mandated by law.
CISCO is advising the offeror on the takeover bid and acting as underwriter operator.
