OTP Bank to acquire Luminor

OTP Bank to acquire 100% of the shares of Luminor Holding, the parent company of Luminor Bank, from a consortium of private equity funds managed by Blackstone, and DNB Bank, subject to regulatory approvals.

THIS ANNOUNCEMENT RELATES TO THE DISCLOSURE OF INFORMATION THAT QUALIFIED AS INSIDE INFORMATION WITHIN THE MEANING OF ARTICLE 7(1) OF THE MARKET ABUSE REGULATION (REGULATION (EU) 596/2014).

TALLINN, Estonia--(BUSINESS WIRE)--Today, Luminor announces that its shareholders, a consortium of private equity funds managed by Blackstone, and DNB Bank, have agreed to sell their shares in Luminor Holding to OTP Bank. The transaction marks an important milestone in Luminor’s development as a leading pan-Baltic bank and provides a strong platform for its next phase of growth.

The acquisition of Luminor by OTP Bank will support Luminor’s strategy to strengthen further its position as a top three, universal, pan-Baltic bank, with a digital-first operating model, demonstrated track record, and a modern and scalable IT platform. Over recent years, Luminor has strengthened materially its business model, grown its customer franchise, and advanced the digitalisation of its operating model.

Wojciech Sass, Chief Executive Officer of Luminor, said:
‘This transaction is an important step in our development. Both Luminor and OTP Bank share a clear commitment to customers, long-term value creation and financing the real economy of our home markets. As part of OTP Group, Luminor will have the backing of an experienced international banking group with a strong presence across Central and Eastern Europe. I want to thank Luminor employees for their contribution to Luminor's development and their continued dedication to supporting our customers and the Baltic economies.'

Péter Csányi, Chief Executive Officer of OTP Bank, added:
’As one of the leading banking groups in Central and Eastern Europe, OTP Group has demonstrated over the past decades its ability to create value in new markets. We invest capital, liquidity and technological expertise into acquired banks and apply a long-term ownership approach. Building on Luminor’s strong market position, our goal is to further strengthen the bank’s role in the Baltic states and contribute to the development of the region’s financial system, lending activity and financial innovation.'

Completion of the transaction is subject to obtaining the necessary regulatory approvals.

This announcement is released by Luminor Holding AS and Luminor Bank AS and contains information in relation to its listed securities that qualified as inside information for the purposes of Article 7(1) of Regulation (EU) 596/2014 (the ‘Market Abuse Regulation’). For the purposes of the Market Abuse Regulation and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is made by Wojciech Sass, Chief Executive Officer of Luminor Bank AS and Mari Mõis, Chief Executive Officer of Luminor Holding AS.

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Notes to editors

About Luminor
Luminor is a leading independent bank in the Baltics and the third-largest provider of financial services in our region. We serve the financial needs of individuals, families, and companies. We are here to improve the financial health of our customers and our home markets, and to support their growth. Further information about us can be found at www.luminor.ee.

Luminor Bank AS, Liivalaia 45, 10145 Tallinn, Estonia
Registered in Estonia. Commercial register code: 11315936