Fortis and Millennium are coming to Bucharest

Belgian Fortis Group and Portuguese Millennium BCP, two former competitors for the acquisition of Banca Comerciala Romana, are preparing to enter the domestic market. The Portuguese have already made a lot of progress in terms of legal procedures and in building their team, while Fortis is just recruiting, banking sources say. A possible option for Fortis would be to operate through the subsidiary the Portuguese are to open, considering the partnership the two financial groups have. Fortis owns 4.99% in Millennium directly. An example of the partnership is the joint venture established on the insurance market in Portugal last year, wherein Fortis owns 51% and which has rapidly grown by using the distribution capacity of the largest Portuguese bank. Moreover, one of the arguments Fortis considered at the time it backed out of the race for BCR was precisely the prospect of making use of the partnership with Millennium, had this bank won the tender. However, once Romania joins the European Union, Fortis will no longer need a licence from the NBR to begin operations in this country. This goes for any bank in the EU. The Belgians have recently launched a personnel recruitment campaign in order to build a local structure. In the meantime, they are already showing interest in funding projects on the Romanian market, and are trying to compete with the banks that already have a presence here. For instance, Fortis has voiced plans to provide funding for the expansion of the Cernavoda nuclear power station, as well as for infrastructure projects.