TT split gets green light from creditors

After more than a century, Hellenic Postbank (TT) is poised for major change, as sources have said that on Thursday evening Greece’s creditors approved the business plan of the new bank that will include the healthy part of TT and be passed on to the Hellenic Financial Stability Fund (HFSF).

Late on Friday the Finance Ministry and the Bank of Greece made the official announcements, with the central bank revoking TT’s license for banking activities, and TT being dissolved and transformed into a new bank that will include Postbank’s assets, its branch network and activities. This healthy part of TT also includes the shares held by Hellenic Post, Attica Bank and others.

Haris Siganos is appointed head of the new bank, after the expected resignation of board chairman Kleon Papadopoulos late on Thursday.

The “bad” part of the old bank, mostly concerning the nonperforming loans of the lender, is to be liquidated.

After a short period of time during which TT will be controlled by HFSF, a new tender for its sale will take place.