• 9 additional branches are starting operations before March 2008


The acquisition of Arab Bank network in Cyprus by the Piraeus Bank is now official.

The contracts for the acquisition were signed on Friday 25 January 2008, following the agreement which was announced in December 2007.

Arab Bank has a network of 4 branches in Cyprus, it owns premises covering 4.600 square metres in Nicosia, has a staff of 105 people and its portfolio includes loans of €126m. and deposits of €246m. The cost of the acquisition amounted to €15m.

Piraeus Bank has already been granted a licence from the Central Bank of Cyprus for the provision of banking operations and it will commence its activities immediately, with an initial capital of €50m. In addition to the current network of Arab Bank, Piraeus Bank (Cyprus) has scheduled the opening of 9 more branches by March 2008, thus reaching the total number of 13 branches on a Pancyprian basis.

The Chairman and Managing Director of Piraeus Bank (Cyprus), Mr. Constantinos Loizides stated that “the objective of Piraeus Bank in Cyprus is to develop and establish itself as a powerful financial organisation in the greater geographical region, whilst providing quality services to the local market”.