DZI Bank – sale of 74.26% stake to Eurobank EFG (2006)
Greece's Eurobank EFG, acquired 75.4% in Bulgaria's DZI Bank for EUR 157.76mn. The majority stake was acquired from DZI Insurance and Reinsurance company and Riviera AD. The transaction was subject to regulatory approvals in Bulgaria, Greece and Switzerland, and was completed in the fourth quarter of 2006.
At that time, DZI Bank was a medium-sized Bulgarian bank, listed on the Bulgarian Stock Exchange, which had a network of 131 branches and 43 micro-branches, and employed 1,300 individuals. The bank's strengths were embedded in corporate and commercial banking, deposit taking and card issuing, according to EFG Eurobank. In June 2006, DZI Bank held assets worth Euro 563mn. Its loans totaled Euro 250mn while deposits came to Euro 477mn.
The Eurobank EFG announced officially their intentions to merge DZI and Postbank and thus strengthen their positions on the rapidly expanding Bulgarian market.
Bulbrokers Consulting participated in the preparation of the overall strategy and transaction documentation and assisted the Seller and the Bidders during their due diligence process and negotiations.