FRANKFURT, April 2 Hungary's biggest bank OTP
is moving closer to purchasing loss-making bank MKB
from German state-backed lender BayernLB,
three sources close to the matter said on Wednesday.
Both OTP and public sector bank BayernLB have engaged in
intense talks in recent weeks and are likely to reach an accord,
the sources said. One of the unresolved questions separating the
parties from a deal is the price, one of the sources said.
Any purchase would help OTP to consolidate its position as
Hungary's biggest bank and conform to government plans to move
banking assets from foreign into domestic hands.
Selling MKB would also be a huge step forward for BayernLB,
whose results have been burdened by the loss-making Hungarian
(Reporting by Andreas Kroener; Additional reporting by Marton
Dunai in Budapest and Arno Schuetze in Frankfurt; Writing by
Thomas Atkins; Editing by Victoria Bryan)