Eurobank Ergasias Explained

Eurobank Ergasias Services and Holdings S.A.[1]
Trade Name:Eurobank Holdings
Native Name:Eurobank Ergasias Υπηρεσιών και Συμμετοχών Α.Ε.
Native Name Lang:el
Former Name:[2] [3]
Type:Public
Isin:GRS323003012[4]
Industry:Financial services
Founded: in Athens, Greece
Founder:Vasilios Karavasilis
Hq Location City:Athens
Hq Location Country:Greece
Num Locations:616 branches[5]
Num Locations Year:2022
Key People:[6]
Services:[7]
Revenue:[8]
Owner:[9]
Num Employees:11,328
Subsid:[10]
Ratio:15.2%

Eurobank is a financial organisation that operates in Greece, Cyprus, Luxembourg, Bulgaria and the UK. As of December 2018, the Eurobank Group counts, in assets, 653 customer service locations in Greece and abroad, and 13,162 employees.[11]

Eurobank has been designated as a Significant Institution since the entry into force of European Banking Supervision in late 2014, and as a consequence is directly supervised by the European Central Bank.[12] [13]

History

The bank was incorporated in 1924 as “V. Karavasilis Tobacco Company and Bank SA”. In 1937 it was renamed “Karavasilis Bank SA” and in 1952 “Professional Credit Bank SA”. In 1964 it was acquired by the National Bank of Greece, who renamed it Bank of Athens in 1992.

The Euromerchant Bank SA (Greek, Modern (1453-);: Ευρωεπενδυτική Τράπεζα ΑΕ,) was founded in 1990. It took over 75% of EFG Private Bank (Luxembourg) S.A.'s operations in 1994. In 1997 it was renamed EFG Eurobank SA and acquired Interbank Greece SA and the branch network of Crédit Lyonnais Grèce SA. In February 1999 EFG Eurobank SA merged with Cretabank SA.[14]

In March 1999, Bank of Athens merged with EFG Eurobank SA.[15] [16] In 2000 the bank changed its name to EFG Eurobank Ergasias SA after taking over the renowned Ergasias Bank. In 2002 it acquired Telesis Investment Bank, followed by UnitBank in 2003.[17] A financial products subsidiary was founded in 2007 (49.9% owned by employees).

In 2012, the bank sold 70% of the Polish branches called Polbank to Raiffeisen Bank International.

In 2012, the Spiros Latsis associated Eurobank EFG merger with Giannis Kostopoulos's (Greek, Modern (1453-);: Γιάννης Κωστόπουλος) Alpha Bank was cancelled because of the Greek debt crisis.[18] The proposed merger included a capital boost from Qatar Investment Authority of 500 million euro convertible bond and a 1.25 billion euro rights issue which would have Qatar Investment Authority a major shareholder and from Southeast Europe's biggest bank with assets of 150 billion euros and 80 billion euros of deposits.[19]

After the Greek financial crisis and bailouts of Greek banks in 2012, Swiss-Luxembourg based EFG Group—the then owner of Eurobank—was told to separate the Greek bank from the rest of its business. In July of that year Eurobank was deconsolidated from the group and its shares sold to the Greek Latsis family and it was renamed Eurobank Ergasias.[20]

In January 2013, the National Bank of Greece made an offer, which ultimately did not go through, to take over Eurobank Ergasias; 64,000 Eurobank shareholders and the Greek capital market commission agreed.[21] Later in 2013 Eurobank acquired New TT Hellenic Postbank and New Proton Bank.

The bank was the third largest in Greece by total asset by total loans and total deposits, and the fourth by market capitalisation—as at December 2014.

Since 1 February 2015, the chairman and non-executive director of Eurobank Ergasias has been Nikolaos Karamouzis; Fokion Karavias has been the CEO and executive director since the same day.[22] Canadian fund Fairfax Financial are major shareholders, with an 18.2% stake in 2018, that was increased after the takeover of Grivalia Properties until 32.9%.[23]

In the end of year 2015 results, total net loans were (non performing 43.8%, of which provisions were at 53.3%), customer deposits, and central bank funding was .

At the end of 2020, the bad loans of the group reached an amount of €5.7 billion. In March 2020, Eurobank announced a project for reducing its nonperforming loans index from 14% to 9%.[24]

In March 2023, the Greek bank Eurobank sold its Serbian unit to AIK Banka for €280 million, becoming Serbia's second-largest financial conglomerate.[25]

Major acquisitions

Branches

Serbia

Eurobank Direktna (Eurobank Direktna akcionarsko društvo Beograd) is a bank founded in 1997, with headquarters in Belgrade, Serbia.[30] In March 2003, Eurobank acquired 68% of Postbanka AD Beograd and eventually renamed it EFG Eurobank AD Beograd.[31] This was followed by the merger with Nacionalna štedionica Banka. In October 2006, the bank began operating under a single brand, name and visual identity.[32] In 2016, the bank had €1.337 billion in assets and revenue of €18.42 million.[33] In December 2021, the bank merged with Direktna Banka and was renamed to Eurobank Direktna.[34] In November 2023, Serbian AIK Banka bought the majority of shares of the bank, for a total of 280 million euros.[35] [36]

See also

External links

Notes and References

  1. Web site: Στοιχεία Δημοσιότητας . Business Registry . Union of Hellenic Chambers Of Commerce . 23 January 2023 . el.
  2. Web site: Bank of Athens Archives . Eurobank . 23 January 2023.
  3. Web site: Our History . Eurobank . 23 January 2023.
  4. Web site: Profile . Athens Exchange Group . 23 January 2023.
  5. Web site: FY2022 results . Eurobank Holdings . 12 March 2023.
  6. Web site: Board Members . Eurobank Holdings . 23 January 2023.
  7. Web site: The Eurobank Group . Eurobank . 23 January 2023.
  8. Web site: 2023-2025 Business Plan Update & 2022 Financial Results . Eurobank Holdings . 12 March 2023.
  9. Web site: Profile . Eurobank Holdings . 26 October 2023.
  10. Web site: Annual Financial Report for the year ended 31 December 2021 . Eurobank Holdings . 23 January 2023.
  11. Web site: The Eurobank Group. www.eurobank.gr. en. 2019-07-31.
  12. Web site: European Central Bank . The list of significant supervised entities and the list of less significant institutions . .
  13. Web site: European Central Bank . List of supervised entities . .
  14. Web site: Απολογισμός Χρήσεως 1998 . Eurobank Holdings . Τράπεζα EFG Eurobank ΑΕ . 24 January 2023 . el.
  15. Web site: Άρχισε η συγχώνευση Eurobank - Αθηνών . ΤΑ ΝΕΑ . 12 December 1998 . 24 January 2023 . el.
  16. Web site: Ετήσιος Απολογισμός 1999 . Eurobank Holdings . Τράπεζα EFG Eurobank Α.Ε. . 24 January 2023 . el.
  17. Web site: Archives from other banks . Eurobank . 23 January 2023.
  18. News: Alpha Bank sagt Fusion mit Eurobank ab. Die Fusion zwischen der Alpha Bank und der EFG Eurobank ist abgesagt worden. Die Alpha Bank will den Fusionsvorschlag zurückziehen, weil der Schuldenschnitt für Griechenland höhere Verluste mit sich bringt als erwartet. . Alpha Bank cancels merger with Eurobank. The merger between Alpha Bank and EFG Eurobank has been canceled. Alpha Bank wants to withdraw the merger proposal because the debt cut for Greece will result in higher losses than expected. . de . Handelsblatt. 14 March 2012 . 6 July 2021 . 25 January 2013 . https://archive.today/20130125165321/http://www.handelsblatt.com/unternehmen/banken/griechenland-alpha-bank-sagt-fusion-mit-eurobank-ab/6327692.html.
  19. News: Papadimas . Lefteris . Georgiopoulos . George . Eurobank, Alpha Bank to announce merger . . 28 August 2011 . 22 February 2022.
  20. News: Tagaris . Karolina . Greece's EFG Eurobank to split from EFG Group . . 23 July 2012 . 16 September 2021.
  21. Web site: AFP staff. Greece's National Bank finalizes swap to create nation's 'largest banking group' . 20 February 2013 . https://web.archive.org/web/20160805154655/http://www.chinapost.com.tw/business/europe/2013/02/20/370680/Greeces-National.htm . 5 August 2016 . . . Agence France-Presse.
  22. Web site: Eurobank Ergasias. www.eurobank.gr. 17 August 2017. https://web.archive.org/web/20170817203551/https://www.eurobank.gr/online/home/viewNews2.aspx?id=2009&code=ANNOUNCE&lang=en. 17 August 2017. dead.
  23. News: Monga. Nektaria Stamouli and Vipal. 26 November 2018. Greece's Eurobank to Acquire Grivalia Properties. en-US. Wall Street Journal. 26 July 2021. 0099-9660.
  24. Web site: Furber. Sophia. 11 March 2021. Eurobank unveils €3.3B 'Mexico' bad-loan securitization. 26 July 2021. www.spglobal.com. en-us.
  25. Book: Bank, European Investment . Central, Eastern and South-Eastern Europe (CESEE) Bank Lending Survey: Second half of 2023 . 2023-12-06 . European Investment Bank . 978-92-861-5622-9 . EN.
  26. News: Kholaif . Dahlia . Burgan Bank Concludes Purchase of Eurobank Tekfen . . 23 December 2012 . 16 January 2015 . 15 July 2014 . https://archive.today/20140715131347/http://www.bloomberg.com/news/2012-12-23/burgen-bank-concludes-purchase-of-turkey-s-eurobank-tekfen.html.
  27. News: Clark . Simon . Greece's Eurobank, Alpha Bank Ask Central Bank for Emergency Liquidity Assistance . . 16 January 2015 . 16 January 2015 . 18 January 2015 . https://archive.today/20150118194622/http://www.wsj.com/articles/greeces-eurobank-alpha-bank-ask-central-bank-for-emergency-liquidity-assistance-1421408384.
  28. Web site: Hope. Kerin. 26 November 2018. Greece's Eurobank to accelerate bad loan reduction with Grivalia takeover. 26 July 2021. Financial Times.
  29. Web site: Kokkinidis. Tasos. 8 November 2018. Piraeus Bank Sells Bulgarian Subsidiary to Eurobank. 26 July 2021. GreekReporter.com. en-US.
  30. Web site: Претрага привредних друштава . Агенција за привредне регистре . 4 March 2023 . sr.
  31. Web site: EUROBANK 1989-2008 ΤΑ ΠΡΏΤΑ 20 ΧΡΌΝΙΑ: ΑΝΑΠΤΥΞΗ ΜΕ ΔΙΕΘΝΗ ΧΑΡΑΚΤΗΡΑ . Eurobank . 4 March 2023 . el.
  32. http://www.eurobank.rs/ EB
  33. Web site: FINANSIJSKI IZVEŠTAJI ZA GODINU ZAVRŠENU 31. DECEMBRA 2017. GODINE I IZVEŠTAJ NEZAVISNOG REVIZORA . eurobank.rs . 16 December 2018 . Serbian . 19 April 2018.
  34. News: Spojene Eurobanka i Direktna banka . 19 December 2021 . 021.rs . Beta . 13 December 2021 . Serbian.
  35. Web site: Serbia's AIK Banka to acquire Eurobank Direktna for 280 MLN euro . seenews.com . 16 March 2023 . 3 March 2023 .
  36. Web site: Eurobank announces the completion of the sale of its subsidiary in Serbia to AIK Banka.

This article is licensed under the GNU Free Documentation License. It uses material from the Wikipedia article "Eurobank Ergasias".

Except where otherwise indicated, Everything.Explained.Today is © Copyright 2009-2024, A B Cryer, All Rights Reserved. Cookie policy.