Credit Agri­cole seeks to buy out Em­po­riki

Kathimerini English - - Business & Finance -

Credit Agri­cole stated yes­ter­day it has filed a pro­posal to ob­tain full con­trol of its Greek sub­sidiary Em­po­riki Bank. The French bank­ing gi­ant al­ready holds some 91 per­cent of the loss-mak­ing lender.

Credit Agri­cole in­tends to spend 36 mil­lion eu­ros on 20.5 mil­lion Em­po­riki shares, or 4 per­cent of the to­tal, for 1.76 eu­ros each via a vol­un­tary pub­lic ten­der. It then plans to delist the lender from the Athens bourse. In­vestors on the lo­cal bourse greeted the news with en­thu­si­asm, se­cur­ing the Em­po­riki stock a 35.16 per­cent daily rise to 1.73 eu­ros, af­ter hav­ing risen as high as 1.76 eu­ros dur­ing the session.

Ear­lier this month Em­po­riki sug­gested that its first-quar­ter loss con­tracted by nearly a quar­ter due to to a de­cline in pro­vi­sions. It has tar­geted a re­turn to profit as of 2012.

Credit Agri­cole’s pro­posal is seen as paving the way for a sim­i­lar move by fel­low French lender So­ci­ete Gen­erale for the full ac­qui­si­tion of an­other Greek lender, Geniki.

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