Shareholders of "EFG Eurobank" have approved the merger with "Alpha Bank"

On Tuesday evening, the shareholders of "EFG Eurobank" have approved the merger with "Alpha Bank", with a majority of 98.06% of the votes represented in the General Shareholder Meeting (AGEA), and the new bank will be called "Alpha Eurobank", according to a press release by "Bancpost", the local subsidiary of "EFG Eurobank".

Nicholas Nanopoulos, CEO al "EFG Eurobank", said that the merger represents a "game-changer decision of historic proportions which enhances the ability of the country to overcome the crisis and stabilizes the banking system".

"The merger plan of Eurobank and Alpha Bank that was announced in the end of last August shows that we are early adopters of the spirit of the time, that we are not just adapting to the circumstances but that we dynamically break through with this strategic initiative", he added.

The CEO of "EFG Eurobank" said that the new bank will become the 23rd largest in the Eurozone, with total assets of 145 billion Euros, 98 billion Euros in loans, and 68 billion Euros in deposits. It will have a network of 2,300 branches and a staff of 34,000.

Nicholas Nanopoulos said that "Alpha Eurobank" "will be able to deliver large-scale synergies of approximately euro650 million, fully phased within three years. The synergies are quite substantial relative to the size of the new entity." "We intend to continue addressing the private initiative and the markets as sources of capital", he said.

The EGM convened with a quorum of 57.36% of the paid up ordinary share capital corresponding to 317,145,899 ordinary shares. Shareholders holding 310,996,643 shares (56.24% of the share capital with voting rights) approved of the merger of Eurobank with ALPHA BANK S.A. ("Alpha" or "Alpha Eurobank" under its new corporate name) by absorption of the former by the latter, and of the Draft Merger Agreement with an exchange ratio of 7 existing Eurobank shares for 5 new Alpha Eurobank shares and 1 new Alpha Eurobank share for every 1 Alpha share held. The total number of shares for valid votes given amounted to 310,999,283.

Further to the approval by the General Meetings and the special meetings of the preference shareholders (the Hellenic State) of the merging banks, the Bank of Greece, the Hellenic Competition Commission and the Ministry of Development, Competitiveness and Shipping, the merger shall be completed with the appropriate Ministry's registration in the Register of Societes Anonymes, which is expected to take place during the next few weeks.

Following the above registration, Eurobank's shares will cease trading in the Athens Exchange. Within one week from the date of cessation of trading of Eurobank's shares, the new Alpha Eurobank ordinary shares to be issued as a result of the share capital increase due to the merger, will commence trading in the Athens Exchange. Shareholders will be notified by Alpha Eurobank through an announcement in the press and the Athens Exchange.

"Alpha Bank Romania" and "Bancpost" (the domestic subsidiary of "EFG Eurobank") held the 8th and 9th position, respectively, in the Romanian banking system, in terms of assets, with 17 billion lei, and 13 billion lei, respectively.