After negotiations lasting more than a year, QNB Group acquired the National Bank of Greece’s entire 99.81% stake in Turkey’s Finansbank in a deal worth €2.7 billion. This marks the first entry into the Turkish market for the largest bank in Qatar and the Arab world, shortly after receiving approval to enter the Saudi market.
Economically, the deal represents a major step for QNB Group in light of trade exceeding $52 billion between the Arab region and Turkey in 2014. It also translates the warm political ties between Doha and Ankara, which have recently developed into a strategic relationship, into practical cooperation.
Finansbank is Turkey’s fifth-largest privately owned bank by total assets, which approach $29 billion, deposits of around $19.5 billion, and loans exceeding $14.6 billion as of 30 June this year. Shareholders’ equity stands at $3.6 billion and its capital adequacy ratio at 16%.
Finansbank serves more than 5.3 million customers through 647 branches.
QNB Group says it will finance the acquisition from its available liquidity. The group operates in 27 countries and has assets exceeding $143 billion.