Raiffeisen banks say will look into possible merger
Reuters
Published May 10, 2016 19:24
Raiffeisen banks say will look into possible merger
VIENNA (Reuters) - Austria's Raiffeisen Bank International (VI:RBIV) and its unlisted parent Raiffeisen Zentralbank [RZB.UL] (RZB) said they will look into whether they should merge, aiming to bolster RZB's capital reserves and improve efficiency.
The announcement on Tuesday came after months of speculation over a potential merger, which would simplify the group's complex structure and relieve pressure on RZB from regulators to lift its capital reserves.
RZB's fully loaded common equity tier 1 ratio, a measure of financial strength, stood at 10.3 percent at the end of 2015, compared with Raiffeisen Bank International's 11.5 percent.
"The objectives of a consolidation of the businesses would be simplification of the corporate structure and adapting the group more closely to increased regulatory requirements," Raiffeisen Bank International (RBI) said in a statement.
The review would be completed within six months so that any decision to merge would be approved before the end of the year, RBI said, adding that a merger would not affect RBI's listing.
Get The App
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.