Turkey’s Finansbank says still aims to hold share offering

ISTANBUL - Reuters

National Bank of Greece still plans to eventually hold a public offering for some of its stake in Turkey’s Finansbank and is continuing work towards a share sale, Finansbank said on July 15.

NBG needs to sell down its near 100 percent ownership in the money-spinning Turkish bank to meet European regulations. In March it postponed plans for a stake sale, as valuation concerns sidelined a potential $275 million deal.

Finansbank said in a statement on July 15 that work is continuing on a sale, depending on market conditions and approval from Turkey’s capital markets regulator.

The Capital Markets Board had said earlier that Finansbank had withdrawn a request for a share sale.

Under a restructuring plan approved by European regulators, NBG needed to sell 40 percent of its stake in Finansbank, a rare bright spot as NBG was hit by Greece’s debt crisis and recession.

Finansbank, 99 percent owned by NBG, helped its parent to report a third-quarter profit last year, contributing more than 100 million euros ($108 million) to group earnings.