ECONOMY

Merger is forced upon local lenders

TBank, formerly known as Aspis Bank, is merging with state-owned Hellenic Postbank according to the law on the sanitization of lenders.

Unlike in the case of Proton Bank, which was split into a ?good? and a ?bad? bank, TBank is taking its net assets to another lender, along with its staff, too. Hellenic Postbank won the tender to that end and will merge with the lender that owned a small share in the Greek credit market, estimated at about 0.6 percent.

The Bank of Greece announced the application of the sanitization measures provided by the recent law on TBank, ?as despite the repeated efforts to front the weaknesses of TBank, it proved not possible to restore its capital adequacy.?