ECONOMY

Eurobank cancels sale of Ukrainian unit

Greece’s third-largest lender Eurobank said on Tuesday it had canceled the sale of its Ukrainian subsidiary PJSC Universal Bank to Ukraine’s Delta Bank Group after the deal did not get regulatory approval.

Eurobank said in August it had agreed to sell its Ukrainian unit for 95 million euros.

The deal, which included the transfer of Eurobank’s Ukrainian assets, was expected to be completed before year-end.

“The appropriate approvals have not been provided in order for the transaction to be completed,” the bank said in a statement.

“Consequently, Eurobank decided to terminate the agreement with the Delta Bank Group.”

The bank did not specify the reasons the sale was not approved.

Including impairment provisions charged in the first half of 2014, Eurobank’s exposure in PJSC Universal Bank and other Ukrainian assets is 107 million euros, the bank said.

[Reuters]