SIF Banat gets $5.6m for West Bank stake

Societatea de Investitii Financiare (Financial Investment Company – SIF) Banat-Crisana got $5.67 million for the 22% in West Bank it sold to Italy-based San Paolo IMI group. SIF Banat-Crisana is one of the founders of the Arad-based bank. The Italian group got the National Bank of Romania’s approval for this transaction at the end of last week. The exposure of San Paolo IMI on the Romanian market has therefore increased to 97%. The Italians’ move comes very shortly after the appointment of a new management, and before a substantial capital increase, but particularly after a nearly two-year time when the bank had gradually gone into conservation. West Bank was bought by the Italian group Cardine Banca for nearly $12 million in 2001, which in its turn merged with San Paolo IMI, Italy’s third largest financial group in the first half last year. The majority shareholder of the Arad-based bank is therefore San Paolo IMI-Cardine, which holds 72%. Even though West Bank was expected to make a move, it did not do much last year. ZF