TBC Bank to complete merger with Bank Republic
05 May 2017 - 8:51PM
TBC Bank to Complete Merger with
Bank Republic
TBC Bank Group PLC ("TBC PLC")
announces that its subsidiary JSC TBC Bank ("TBC Bank"), the
leading bank in Georgia has entered the final stage of the
operational and legal merger with Bank Republic, which will be
fully completed next week, well ahead of schedule. Bank
Republic was acquired in October 2016 and was, at the time, the
third largest Georgian bank in terms of gross loans with a strong
footprint in the retail segment. The merger was originally
anticipated to be completed in the third quarter of 2017.
Following the merger, the Bank's
market share in total loans will increase by 7.6% and will reach
37.8% as of 31 March 2017. The client base will expand by
approximately 380,000 customers and an additional 41 branches and
around 160 ATMs will be added to our distribution network. The
one-off integration costs have amounted to GEL 22.9 million, less
than the expected GEL 23.3 million. Moreover, the bank has upgraded
annualized cost synergies guidance from GEL 20.5 million to GEL
24.0 million.
Starting from 8 May, all former
Bank Republic customers will gain full access to TBC Bank's
innovative products and services, such as award winning mobile and
internet banking, the first ever Georgian Chat-Bot and a wide
variety of deposit, loan and current account offerings. New
customers will be served by a network of 167 branches and over 500
ATMs.
"We are proud to complete the
merger with Bank Republic earlier than we had initially
anticipated. The management team have done their best to execute
the merger process flawlessly for all our stakeholders, and we are
looking forward to welcoming our new customers and offering them
the best digital financial services in the region", commented
Vakhtang Butskhrikidze, Chief Executive Officer of TBC Bank.
For further enquiries, please
contact:
Head of Investor Relations
Anna Romelashvili
ir@tbcbank.com.ge
About TBC Bank Group PLC ("TBC
PLC")
TBC PLC is a public limited company registered in
England and Wales, incorporated in February 2016. TBC PLC became
the parent company of JSC TBC Bank ("TBC Bank") on 10 August 2016.
TBC PLC is listed on the London Stock Exchange under the symbol
TBCG.
TBC Bank, together with its
subsidiaries, is the leading universal banking group in Georgia,
with a total market share of 31.1% of loans (or 38.9% taking into
account TBC Bank's holding in JSC Bank Republic and 33.0% of
non-banking deposits (or 37.8% taking into account TBC Bank's
holding in JSC Bank Republic) as at 31 December 2016, according to
the data published by the National Bank of Georgia.
This
announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: TBC Bank PLC via Globenewswire
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