Nordea divests from Poland
Nordic universal bank Nordea is divesting its Polish banking, financing and life insurance operations, which are being sold to PKO Bank Polski for €694m.
The businesses affected include Nordea Bank Polska, Nordea Finance Polska, and Nordea Polska Towarzystwo Ubezpieczen na Zycie.
The deal will add some 50bps to the Nordea Group’s Core Tier 1 ratio.
Nordea blamed Polish regulations for the deal, which it said have forced local banks to list at least 25% of their shares on the Warsaw Stock Exchange. Nordea Bank Polska has a 0.8% free float.
“These practices make it increasingly challenging to pursue Nordea’s uniform operating model which is used across all other markets,” the bank said.
Christian Clausen, president and group CEO said: “This transaction is a part of the execution of Nordea’s strategy. We remain committed to shaping the future relationship bank, built on the stability that can only be created by top league return on equity, a solid capital base and low volatility. The divestment is well aligned with the implementation of the plan to deliver strong profitability in all areas, units and segments of the bank.”