Piraeus Bank announces that on June 14 2012 has signed an agreement, with Investors Bancorp Inc, for the transfer of its shareholding (98.5%) in its subsidiary Marathon Banking Corporation in New York, USA.
Investors Bancorp, headquartered in Short Hills, New Jersey, is a full-service community bank with USD11.3 billion in assets.
The consideration for the shareholding percentage to be transferred amounts to USD 133 million in cash, corresponding to 1.5x tangible book value of Marathon Bank. The transaction results to a total capital adequacy ratio up-lift of Piraeus Bank Group of approximately 22 basis points to 9.3% (pro-forma for March 2012).
The transaction has been approved by the Board of Directors of each company, subject to customary regulatory approvals and is expected to close in the fourth quarter of 2012.
Athens, 15 June 2012