Tuesday 22, May 2018 by William Mullally

Emirates NBD finalises agreement to purchase Turkey's fifth largest bank

 

Hesham Abdulla Al Qassim, Vice Chairman and Managing Director, Emirates NBD commented that the move will help establish the bank in Turkey, cementing its place in the region 

 

Emirates NBD has finalised an agreement to purchase Denizbank from Sberbank of Russia for $3.2 billion. Sberbank agreed to sell its entire 99.85 per cent stake in the bank, ceasing to be a shareholder in Denizbank upon completion of the transaction.

Denizbank, which is headquartered in Turkey, is the fifth largest bank in the country with assets of TRY 169.5 billion and 751 branches, including 43 in territories such ad Austria, Germany, Bahrain, Moscow, and Cyprus. The bank serves nearly 12 million customers, has 14,000 employees and nearly 6,000 ATMs.

Denizbank is one of the most attractive assets in the Turkish banking sector. We highly value the management team and the results achieved during our ownership of Denizbank since 2012. The decision to sell Denizbank is prompted by a change in Sberbank Group’s international strategy and will allow us to focus further on development of ecosystem of Sberbank.” said Herman Gref, CEO of Sberbank.

Hesham Abdulla Al Qassim, Vice Chairman and Managing Director, Emirates NBD commented that the move will help establish the bank in Turkey, cementing its place in the region.

Shayne Nelson, Group CEO, Emirates NBD said, “The transaction represents a significant milestone for Emirates NBD and is expected to be accretive to shareholders in the first year. Denizbank is a well‐ managed and prominent organization in the Turkish banking market, which with the current deal structure, comes at a reasonable price on acquisition for Emirates NBD.”

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