According to SSH, Apollo will own 80 percent of NKBM, while the European Bank for Reconstruction and Development (EBRD) will get the rest. The buyers expect the bank to become one of the key players in the regional banking market, with a primary focus on serving its clients. Both Apollo and the EBRD are committed to investing in the development of the bank while improving its efficiency.

“We believe that the sale of NKBM to US private equity fund Apollo and the EBRD will have a positive impact on the bank, on its clients and especially on the region in which the bank operates. This demonstrates that SSH’s privatization processes are in line with international standards. It also proves that we can attract responsible and experienced investors who can support the development of companies and boost their competitiveness," SSH chairman Matej Pirc said after the deal was struck.

According to an unaudited report, NKBM generated 11.9 million euros in net profit in Q1 2015 – a 34 percent increase year-on-year. Assets dropped by 28.5 million to 3.6 billion euros year-on-year in order to comply with the bank’s commitments to the European Commission. The bank also reduced its stock of bad loans.

NKBM’s capital increased to 579.5 million euros at the end of March 2015 (up 17 million from the end of 2014), primarily due to the bank’s net profit and better-performing securities.

A.Č.; translated by D.V.