Kuwait's Burgan gets nod for Turkish buy

  • Share via facebook
  • Tweet this
  • Bookmark and Share

Burgan Bank has received approval from Turkey's banking regulator for its planned purchase of Eurobank's Turkish arm, Kuwait's state news agency reported on Saturday.

Burgan said in April it planned to buy a 99.26 percent stake in Eurobank Tekfen. It will acquire 70 percent of the lender from Tekfen's Greek partner EFG Eurobank in a $355m deal, while the remaining 29.26 percent stake will come from Tekfen Holding for an unknown sum.

Turkey's Banking Regulation and Supervision Agency (BBDK) said in a statement on its website it had approved the sale.

Eurobank Tekfen was put up for sale in July, as EFG Eurobank, Greece's second largest bank, sought to strengthen its capital base. Burgan Bank, the commercial banking arm of Kuwait Projects Co, said it will use internal funds for the deal.

While Greek banks seek to shore themselves up in the face of protracted recession, Gulf investors have been looking at Turkey as a natural target in the face of unrest in the Middle East and debt crises in Europe and the United States.

Related:
Companies

Market Performance

Burgan Bank
540.0
10.0 1.89 (%)
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

Enter the words above: Enter the numbers you hear:

All comments are subject to approval before appearing

Further reading

Features & Analysis
Q&A with Noor Bank

Q&A with Noor Bank

Kazim Ali, head of corporate banking at Noor Bank, discusses...

Saudi bank's $6bn IPO ignites religious controversy

Saudi bank's $6bn IPO ignites religious controversy

Plans by National Commercial Bank have prompted some clerics...

Dubai flexes legal muscles as financial court system grows

Dubai flexes legal muscles as financial court system grows

Landmark ruling by the court system in Dubai's financial free...

Most Discussed