An agreement between Arab Bank and Piraeus Bank for the acquisition of the branch network that the former operates in Cyprus by Piraeus Bank has been signed.
Arab Bank has 4 branches in Cyprus, a wholly owned 4,600 sq m Head Office building in Nicosia, 105 staff, €126 mn (CYP74 mn) in loans and €246 mn (CYP144 mn) in deposits. The acquisition price amounted to €15 mn.
It is reminded that Piraeus Bank has already received a banking license from the Central Bank of Cyprus for operating a wholly owned subsidiary under the name “Piraeus Bank (Cyprus) Ltd”. To this end, an experienced 40 person- management team has already been hired and is in place and 9 branches in the main cities are being prepared, so as to offer a full array of banking services and products.
Country head of Piraeus Bank Cyprus is Mr. Constantinos Loizides. Piraeus Bank (Cyprus) Ltd, together with Arab Bank’s network in Cyprus, is expected to commence operations at the beginning of 2008 with at least 13 branches and 160 staff.
By developing its operations in Cyprus, Piraeus Bank aims to build a financial services center covering the countries of the broader region.