PZU Zl1.63 billion acquisition of stake in Alior Bank

Overview:

• Powszechny Zakład Ubezpieczeń (PZU)—Poland's largest insurance company—acquired a 25% equity stake in Alior Bank, a fast-growing Polish retail and commercial bank, held by Alior Lux & Co and Alior Polska.
• It was the first transaction involving "re-Polonisation", where a Polish institution acquired control over a commercial bank to achieve synergies between various financial services and with the intention to further consolidate in the Polish banking sector.
• PZU's strong capital position enabled it to take advantage of the opportunity to deliver on its obligation to increase the group’s value as its investment earnings may generate additional shareholder value.

Adam Majeed - Regional editor