The management of Piraeus Bank has today reached an agreement with the management of Proton Bank and shareholders representing 26.98% of its outstanding share capital to acquire the above stake via a share exchange transaction.
The exchange ratio agreed was 1 Piraeus Bank share for every 5.5 shares of Proton Bank. The consideration to be paid by Piraeus Bank will be sourced from its Treasury Stock.
As of today, the deposit base of Proton Bank amounted to euro 1.3 bn, and outstanding loans to euro 1.25 bn. Proton Bank has a network of 31 branches, 19 of which are located in the Attica region.
This agreement will enhance the capital base of Piraeus Bank Group by at least euro 200 million and should be EPS accretive taking into consideration the anticipated synergies.
The intention of the managements of the two banks is that, ultimately, Proton Bank will be merged into Piraeus Bank Group.
The agreement signed today between the parties is subject to approval by the competent regulatory authorities.