Société Générale (SocGen) has agreed to sell its bank in Serbia to Hungary’s OTP, as the French outfit continues its retreat from parts of emerging Europe while OTP gradually ramps up its presence in the region.
The agreement follows an earlier deal, signed in August, when OTP Bank signed agreements to acquire SocGen’s Bulgaria and Albania businesses. In November, SocGen sold its Polish subsidiary Euro Bank to Millennium Bank.
SocGen did not disclose the amount of the transaction, although it said the sale would have a 108 million euros negative hit on its fourth quarter earnings. By absorbing SocGen’s operations, the new OTP bank will become the second largest in Serbia.
The completion of the transaction is subject to approvals from National Bank of Serbia (NBS) and antitrust authorities. The