CPC allows the concentration of activity of Investbank and Victoriabank :: Investor.bg

<img src = "https://www.investor.bg/images/photos/0264/0000264176-article3.jpg" alt = "The Commission for the Protection of Competition has authorized Investbank to take control of Victoria Bank, announced Friday the Anti-Monopoly Commission.

The CPC considers that the concentration between the banks, which will occur by the acquisition of exclusive exclusive control by Investbank AD on 100% of the capital of the Commercial Bank Victoria EAD, will not lead to a dominant position in the Bulgarian banking market

Investor.bg recalls that Victoria Bank is a subsidiary of Corporate Commercial Bank, which is in insolvency proceedings and that all rights of the owner and management bodies were seized and entrusted to the trustees Angel Donovan and Cristi Marinova appointed by the Bank Deposit Guarantee Fund in accordance with the Bank Bankruptcy Act

Transfer of 100% of the capital of Victoria Bank

The object of the transaction is the sale of 122,090,621 shares, each of them with a par value of 1 BGN, representing 100% of the capital of "Т. Victoria-Commercial Bank "JSC. After the transaction, Investbank will determine the commercial policy and behavior of the credit institution purchased

From the bank of Petya Slavova told the CPC that with the purchase of the subsidiary of CCB Bank will increase the value of balance sheet badets and credit portfolio investment as well as the reduction of total administrative expenses due to the optimization of operations and centralized activities

. badysis of the state of the banking sector by the BNB's Department of Banking Supervision from the end of 2017, quoted by the CPC, it is understood that Investbank and Victoria Bank are not part of the banking group. Systemic importance defined by the BNB

Investbank there is a 2% share of badets in the banking system, occupying 14th place, and Victoriabank has a 0.1% share of total badets and occupies the 17th place. After the transaction, the merged entity will have a 2.1% stake in the total badets

Market positions of the parties to the merger

In its badysis of the position of the actors of the banking sector in the market in concentration and their main competitors, CPC reported that attracted deposits by citizens and households Investbank was 11th with a 2.4% share and Victoriabank was the 24 with a market share of 0.01%

After the transaction, their total market share will be 2.41% and Investbank's position In the case of residential mortgage loans for individuals Investbank is 13th with a 0.63% stake and Victoriabank is 19th with a market share of 0.12%. At the end of the transaction, the merged group will have a combined market share of 0.75% and will occupy the 12th place, replacing ProCredit Bank (Bulgaria)

A ready for consumption Investbank is the 13th With a market share of 0.95%, Victoria Bank ranks 21st with a market share of 0.05% but after the merger, the financial group will have a total market share of 1 % and Investbank will remain in the ranking before the merger [19659004] CPC notes that the decision to centralize the activities of Investbank and Victoriabank is in accordance with the Competition Protection Act s. The commission, chaired by Yulia Nenkova, said that the decision could be brought before the Supreme Administrative Court of the Republic of Bulgaria within 14 days of the notification according to the procedure of the APC and for third since its publication in the electronic version. the public CPC register