Fog over Emporiki set to clear

Credit Agricole?s intentions regarding the future of its Greek subsidiary, Emporiki Bank, are expected to become clearer on Tuesday when the French group presents its first-half results to institutional investors.

Although the issue of the possible sale of the Greek lender reportedly topped the agenda at Monday?s Credit Agricole board meeting, no decision was made.

It is now expected that the decisions regarding the bids by National Bank, Eurobank EFG and Alpha Bank will be put off for another couple of weeks, but a sign of the group?s intentions is expected during Tuesday?s conference call.

At any rate, it is believed to be certain that Emporiki will merge with one of its three suitors, although questions remain about the comparative advantages of each bid before the final decision is made.

In addition, Credit Agricole will have to recapitalize Emporiki with 2.5 billion euros, as demanded by the Bank of Greece, before any merger can take place.