The European Bank for Reconstruction and Development (BERD) took over 19 percent of Piraeus Bank Romania shares. US Investment Fund J.C. Flowers & Co. recently bought 76.1 percent of the bank shares and recently received BNR’s approval for the acquisition.
The remaining 4.9 percent shares will be acquired by the bank’s management, according to BERD.
J.C. Flowers signed up for Piraeus Bank’s Romanian subsidiary purchase in December 2017 after failing to take over Piraeus alongside Carpatica Commercial Bank in 2015.
Piraeus Bank has more than 300,000 customers through a network of 100 branches and agencies, with over 1,200 employees. On September 30, 2017, Piraeus had assets of 1.5 billion euros, after a sharp decline in the portfolio in previous years, the bank being cleansed by non-performing loans for sale.
The Greek shareholders had to reduce the exposures in the region as part of the bail out plan signed with European authorities. The US Fund J.C. Flowers has a capital of USD 15 billion, invested in 50 companies in 17 countries in industries such as banking, insurance and reinsurance, as well as other finance firms.
The private equity firm has launched three private investment funds so far since it was set up in 1998 by banker J. Christopher Flowers, a former Goldman Sachs partner.