Alpha Services and Holdings, the parent company of Alpha Bank, has reached a binding agreement to acquire the majority of the assets, liabilities, and personnel of AstroBank Public Company.
The transaction will be carried out through Alpha Bank Cyprus, a fully owned subsidiary of Alpha Holdings.
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The deal is valued at €205m($214.1m) and is part of the group’s objective to strengthen its market presence and financial footprint in core markets.
Once completed, Alpha Bank Cyprus will expand significantly, increasing its market share to around 10% in terms of total assets.
This is also expected to position the company as the third-largest bank in Cyprus. The acquisition is expected to boost its loan portfolio by over 60%, its deposit base by around 70%, and its asset base by approximately 65%.
On a fully phased-in synergies basis, Alpha Bank Cyprus anticipates doubling its recurring profitability, exceeding €100m in net income.
The transaction will have a limited impact on Alpha Bank’s Common Equity Tier 1 (CET1) ratio, with an estimated increase of about 40 basis points.
Completion of the transaction is expected by the end of Q4 2025, pending finalisation of documentation and regulatory approvals.
Alpha Bank, part of Alpha Services and Holdings, was founded in 1879 and offers financial services, including retail banking, SMEs and corporate banking, asset management, private banking, insurance product distribution, investment banking, brokerage, and real estate management.
The parent company reported profit after income tax €654.1m for fiscal year 2024 and €164.9m for the Q4.
