Following customary regulatory approvals, Intrum and Piraeus Bank have closed the transaction, first announced in June, that creates a leading management services platform in Greece. The transaction is a long-term strategic partnership, with Piraeus Bank owning 20 per cent of the shares in the new company.
Under the terms of the transaction, Intrum has acquired Piraeus Bank's platform for servicing non-performing loans and consolidated it into a newly established company, which will be named Intrum Hellas. Intrum owns 80 per cent of the shares in Intrum Hellas, with Piraeus Bank owning the remaining 20 per cent.
As part of the transaction, Intrum Hellas has entered into agreements that include the servicing of Piraeus Bank’s Non-Performing Exposures (NPEs) and Real Estate Owned assets (REOs) on 10-year initial terms.
“The completion of this acquisition ensures our leading position in one of the largest markets for non-performing loans in Europe. It will create opportunities for further growth, contribute to strong cash flows and be significantly EPS-accretive, supporting our path towards our 2020 targets,” says Mikael Ericson, President and CEO of Intrum.
For further information, please contact:
Viktor Lindeberg, Head of Investor Relations
+46 (0) 8 546 102 02