Hungary's Largest Bank OTP Could Quit Russia as Potential New Deal Reshapes Plans
OTP said it cut Russian staff 25% and branches 40% as it weighs an exit while seeking approval for its Luminor acquisition.
- Hungary's OTP is reviewing its strategy in Russia and considering a complete withdrawal, Chief Executive Officer Péter Csányi told Bloomberg.
- Operating in Russia since 2022, OTP Group reduced its Russian workforce by 25 per cent and branch network by 40 per cent, yet the operation remains profitable.
- Bloomberg reported OTP customers included Gazprom Export and Yugorosgaz, but the bank stated an internal review found no evidence of sanctions breaches.
- In July, OTP agreed to acquire Luminor Holding from DNB and Blackstone to strengthen its position in the European area.
- The bank expects the review to be completed by the end of 2026, though it previously stated selling its Russian business is "practically impossible.
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Hungary's largest bank OTP could quit Russia as potential new deal reshapes plans
Hungary's largest bank, OTP Bank Group, has continued operating in Russia since the full-scale invasion of Ukraine in 2022, although it says it has substantially reduced its activities there. But now a new opportunity has risen, which could make leaving well worth it. Continue reading: https://dailynewshungary.com/hungary-bank-otp-quit-russia-new-plans/
According to Bloomberg, Hungary's largest financial group, OTP Bank, has begun to review its development strategy, allowing the possibility of a complete exit from the Russian market. According to Bloomberg, Hungary's largest bank, OTP Bank, is studying options for a complete withdrawal from Russia. The lending organization has begun to revise the strategy due to the limited possibilities for the withdrawal of dividends and plans to expand its p…
Hungary's largest OTP bank may completely withdraw from Russia
Hungary's largest OTP bank may completely withdraw from Russia. The Group has begun a review of its Russian business strategy, which it plans to complete by the end of the year. This was stated by the head of OTP Group Peter Chaney.Among the...
Hungary's largest commercial bank OTP Bank, which is acquiring Luminor, the third largest banking group in the Baltics, is looking for ways to exit Russia, Bloomberg reports.
They are reviewing their presence in Russia and may make a decision by the end of the year.
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