ATHENS May 13 Greece's biggest lender National
Bank (NBG) said it will commit to selling a
significant minority stake in its Turkish unit Finansbank
The move is part of an updated business plan it will submit
to the country's central bank later this year, NBG said on
The lender has almost full control of Finansbank, which
contributed more than half of the group's 809 million euro ($1.1
billion) net profit last year.
NBG last week became the fourth major Greek bank to
successfully tap international markets, with a 2.5 billion euro
equity offering intended to plug a capital shortfall.
In a prospectus for its recently completed share offering,
NBG said Finansbank operated 674 branches in Turkey in 2013 and
would open another 25 by the end of this year.
NBG also confirmed it would take additional action to boost
its capital by 1.040 billion euros.
Half of this sum will come from the completed sale of a
majority stake in an upmarket Athens hotel, Astir Palace
Vouliagmeni and the savings arising from a voluntary redundancy
scheme, it said.
NBG will cover the rest by divesting non-core assets and
shrinking its high-risk loan portfolio.
($1 = 0.7296 Euros)
(Reporting by Angeliki Koutantou; editing by Keiron Henderson)