Piraeus in exclusive talks with CVC to buy 70% of Greek insurer Ethniki

Piraeus Bank SA

06/02/2025 09:39

ATHENS, Feb 6 (Reuters) - Piraeus Financial  BOPr.AT ,
one of Greece's four largest banks, said on Thursday that is in
exclusive talks with CVC Capital Partners  CVC.AS  to acquire
70% of Ethniki Insurance.
    Piraeus CEO Christos Megalou told journalists earlier this
week that a possible acquisition of Greece's second largest
insurer would help it raise fee revenues to 30%, from about 20%.
    "We agreed ... to proceed with exclusive discussions
regarding the potential acquisition by Piraeus of a 70% stake in
Ethniki Insurance for 469 million euros ($485.84 million)," the
bank said in a stock exchange filing.
    CVC, which manages assets worth 191 billion euros, bought a
90% stake in Ethniki from National Bank  NBGr.AT  in 2021.
    Greek banks are returning to normal activities after three
recapitalisations that led to their nationalisation after the
country was rocked by a financial meltdown in late 2009.
    Having cut bad loan ratios and returned to profitability,
they received European Central Bank approval last year to resume
dividend payments for the first time in 16 years.
    Piraeus, which was fully privatised last year, expects net
profit of 1 billion euros for 2024 and plans to return 35% of
its profit to shareholders.
    It has hired UBS as a financial adviser and Milliman as an
actuarial consultant for the Ethniki transaction.
($1 = 0.9653 euros) 

 (Reporting by Lefteris Papadimas; Editing by Alexander Smith)
 ((lefteris.papadimas@thomsonreuters.com; +30 6944 248134;
Reuters Messaging: lefteris.papadimas.reuters.com@reuters.net))