Milbank LLP advises Eurobank S.A., a subsidiary of Eurobank Ergasias Services and Holdings S.A., on the sale of its Serbian subsidiary, Eurobank Direktna, to AIK Banka a.d. Beograd.
The transaction values 100% of Eurobank Direktna at €280 million and is consistent with Eurobank’s strategy to direct capital to opportunities with more compelling return on tangible book value (RoTBV) and to further enhance its presence in its core markets.
Eurobank Direktna is headquartered in Belgrade and operates through four primary segments: Retail Banking, Corporate Banking, Small Business Banking & Digital Banking, and holds a market share of 6% in terms of total assets. It currently employs c. 1,600 employees, operates 98 branches and has a balance sheet size of €2.4 billion. Eurobank Direktna is owned by Eurobank Holdings (70%) and former Direktna Banka shareholders (30%).
With 8.2% market share in assets, AIK Banka is one of the most prominent financial institutions on the Serbian market. It provides high quality banking services to more than 740,000 satisfied clients, including in the corporate, SME and retail segments, via a widespread network of branches and a strong digital presence. Following the global trends in banking, AIK Banka achieves growth in a sustainable manner, with a strong capital base continuously investing in innovative solutions tailored to customer needs.
The Milbank team was led by European Leveraged Finance/Capital Markets partner Apostolos Gkoutzinis, Corporate special counsel Merih Altay, Corporate associate Daniel Woods, European Leveraged Finance/Capital Markets associate Dionysis Diamantatos, Tax special counsel Alan Rafferty, Tax associate Cosmos Fung and Corporate partner Andrea Hamilton.
