Tuesday, June 12, 2007

Czech M&A in banking sector

Erste bank has quite complicated shareholder structure and therefore potential acquisition would be complicated. And also due to strong growth at eastern european countries it is difficult to see Erste as a easy target for M&A.

On the other hand Komercni Banka (Societe Generale) is involved in a lot M&A speculations. Like UniCredito or BNP Paribas.

Except those two big banks there are M&A happening with small banks like UniCredito finishing merger of HVB Bank and Zivnostenska Banka and also merger Raiffeisen Bank with eBanka.

Comments

2 Responses to "Czech M&A in banking sector"

NARESH said... June 12, 2007 at 11:50 AM

hi,

interesting view... any idea why was the erste bank stock and other austrian banking stocks (BACA, Raiffeisen) up vs. the european banking sector yesterday...??

Vlada, Czech Republic said... June 12, 2007 at 4:57 PM

Hi Naresh,
First of all, yesterday there were not any news about Erste.
last 5 months Erste doesn't follow czech index PX50 even though it is heavily weighed, the same with austrian index. Contradictory performance of others european banks. I see this yesterday's and also today's buying activity as a opening long positions for short term discount price. If you look at Erste chart technically we are crossing resistance level at CZK 1700.