Eurobank is expanding its presence in the Bulgarian market following an agreement with BNP Paribas Personal Finance to acquire BNP Paribas Personal Finance Bulgaria, a consumer finance company. The acquisition will be carried out through the Eurobank group’s Bulgaria subsidiary Postbank, which is the third largest bank in the market.

This is the third acquisition carried out by the Eurobank group abroad in the last two years. This was preceded in 2021 by the acquisition of Direktna Banka in Serbia and an agreement to acquire a total – for now – 26% stake in Hellenic Bank of Cyprus, moves that strengthened the group’s presence in markets outside of Greece. Operational assets in Bulgaria reach 7.7 billion euros and a profit of 24 million euros, while operating assets in Serbia reach 2.5 billion euros and a profit of 3.5 million euros. Accordingly, the activity in Cyprus is 8.8 billion euros in terms of assets and profitability of 22.8 million euros.

BNP Paribas Personal Finance Bulgaria operates in the area of ​​consumer finance.

As Eurobank notes in its announcement, the agreement to acquire BNP Paribas Personal Finance Bulgaria “strengthens Postbank’s position in retail banking in Bulgaria while creating significant cross-selling opportunities given BNP Paribas Personal Finance Bulgaria’s customer base of over 270 000 clients. In Bulgaria, the Eurobank Group, through its subsidiary Postbank, has been present for more than 20 years, operating a network of 191 branches and 12 business centres. Postbank offers a wide range of products and services for both individuals and legal entities. BNP Paribas Personal Finance has been holding a strong position in the consumer lending market in Bulgaria since 2007. It operates through a network of 44 branches and, as of 9M 2022, had total assets of 450 million euros and deposits of around 100 million euros, as well as high profitability. The planned transaction is subject to approval by the BNP Paribas Personal Finance employee representative bodies and is expected to close in the first half of 2023, subject to the necessary regulatory approvals.

On the occasion of the signing of the agreement, Eurobank Group Deputy CEO and Head of International Operations Stavros Ioannou noted that “this acquisition is fully in line with our strategy to strengthen Postbank with assets that add value both directly and in the future.” future. The deal is further evidence that Eurobank remains committed to its strategy of growth and value creation in the wider region.” Eurobank “further strengthens Postbank’s position as the bank of first choice for private clients by offering the highest level of services to improve the customer experience. They further strengthen Postbank’s position in the Bulgarian market with their experience and know-how, combined with the excellent staff of BNP Paribas Personal Finance Bulgaria,” concludes Mr. Ioannou.