Hungarian bank OTP acquires a bank in Croatia

The Hungarian lender’s Croatian branch, OTP Banka Hrvatska, has signed a purchase agreement for 100 per cent of shares of Splitska Banka with French company Société Générale, raising its market presence in Croatia by approximately 10 per cent.

The financial aspects of the transaction between the French bank and Hungary’s largest lender will be decided next summer and the planned integration will be completed by summer 2018.

The French firm’s Croatian arm, Societe Generale Splitska, is currently the fifth-largest player in the Croatian banking sector.

OTP has been in Croatia since 2005, and has continuously operated profitably in the region, even during the 2008 financial crisis.

This move comes in the wake of OTP’s bid for the National Bank of Greece’s Bulgarian unit last month.

Belgian Bank KBC and OTP have both “made offers to acquire United Bulgarian Bank (UBB), the Bulgarian subsidiary of National Bank of Greece (NBG).” UBB is Bulgaria’s fourth-largest lender.

Earlier in 2016 OTP Bank opened a new regional headquarters in the city of Niš in Southern Serbia.

Hungary’s OTP Bank group is one of the largest financial services providers in Central and Eastern Europe. It comprises large subsidiaries, granting services in the field of insurance, real estate, factoring, leasing and asset management, investment and pension funds.

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