Csanyi, head of OTP Group: We need acquisitions

Sandor Csanyi, head of OTP Bank, the biggest Hungarian financial group, has secured agreement from shareholders to retain earnings for 2009, worth around 329 million euros, in order to make acquisitions from regional markets where operations are as yet small.
In Romania, the local subsidiary of OTP has a less than 1% market share, with market sources recently saying the Hungarian group is in negotiations with Sibiu businessman Ilie Carabulea to take over a controlling stake in Carpatica, one of the two banks with Romanian private capital.
“I have heard the name Carpatica. But I cannot comment on the matter, it is confidential,” Csanyi told the press conference organised after the Group’s General Shareholders Meeting in Budapest, last Friday.
The head of OTP explained the group was examining the acquisition opportunities on several markets in the region, Romania included, in order to strengthen its presence.
“We are planning to make acquisitions in countries in the region where we have a small market share. It is hard to make a profit with a 2-3% market share. (…) In some of the countries, we are in negotiations, in others we are still looking at potential targets. Things are in different stages,” Csanyi said.