Bulgaria's UBB Bank Changes Owner

Belgium-based KBC group has finalized the purchase of the United Bulgarian Bank (UBB) and leasing company Interlease, according to its own statement.

The deal, with a price tag of EUR 610 M, gives KBC control over 99.9% of the bank's shares and 100% of Interlease.

KBC is the owner of CIBank and insurance company DZI in Bulgaria.

UBB was until now owned by the National Bank of Greece (NBG) and the fourth-largest bank in Bulgaria with BGN 7.1 B in assets, having taken over from Corporate Commerical Bank (KTB) as the latter collapsed.

Its merger with CIBank (whose assets were BGN 2.8 B as of September) will form the third-largest bank in Bulgaria in terms of size of the bank assets, with a share of around 11%.

The deal requires approval from the Bulgarian National Bank, the central bank of Belgium, the Financial Supervision Commission, and the European Central Bank.