Athens, 28-12-2012 — / — Eurobank Ergasias SA (“Eurobank”) today announces the completion of the sale of its Turkish operations (“the Transaction”) to Burgan Bank (“Burgan”), following approvals from all competent authorities.

Under the terms of the Transaction, which was announced on the 9th
of April 2012, Burgan has acquired 99.3% of Eurobank Tekfen, from Eurobank and the Tekfen Group, for a consideration of 1x Book Value, i.e. approx. TL 700 million.

The Transaction increases Eurobank’s Core Tier I capital ratio by more than 50 bps (or capital equivalent of more than €200 million) and improves its liquidity position by more than €400 million.

Eurobank acquired 70% of Eurobank Tekfen from the Tekfen Group in 2007, with an option to acquire a further 29.3% at a later date. Since 2007, Eurobank Tekfen more than tripled the size of its loan portfolio to €1.5 billion, doubled its branch network, and increased profitability. The bank currently serves more than 90,000 customers with 60 branches and ranks among the top 20 banks in Turkey ın terms of loans.

The disposal of Eurobank Tekfen is part of a series of capital enhancing actions taken by Eurobank since the beginning of the crisis, that include the sale of treasury shares, the absorption of DIAS closed-end fund, the sale of its operations in Poland, liability management exercises, and the deleveraging and derisking of its balance sheet. In total, these actions have improved Eurobank’s Core Tier I by the equivalent of €1.9 billion.

Eurobank will continue implementing its plan for the organic enhancement of its Core Tier I capital, mainly through effective management of its assets and liabilities as well as the reduction of operating expenses.

Barclays and Goldman Sachs International acted as Financial Advisers to Eurobank in the Transaction.



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