EBRD Completes Exit From Bank Of Cyprus With Stake Sale

2025-09-04 03:07:40

(MENAFN- Trend News Agency) BAKU, Azerbaijan, September 4. The European Bank for Reconstruction and Development (EBRD) has sold its entire 5 percent holding in the Bank of Cyprus, completing its exit from the country's largest lender, Trend reports.

The 22.4 million shares were placed with institutional investors through an accelerated bookbuild on the Athens Stock Exchange (ATHEX), where the bank was recently relisted following its delisting from London.

The EBRD first acquired its stake in 2014 to support the bank's restructuring in the aftermath of the eurozone crisis. Since then, the Bank of Cyprus has returned to profitability, delivering an average 20 percent return on equity over 2023–2024, while sharply reducing its non-performing loan ratio from nearly 60 percent to 2.5 percent.

Kristina Zagar, the EBRD's Director of EU Banks and Structured Finance, said the investment had been instrumental in strengthening the bank's credit processes and restoring its role in lending to the real economy.“The bank has evolved into a resilient and robust business on the back of improved governance, clear strategic vision and consistent delivery on developing a future-ready and sustainable business model,” she noted.

The EBRD invested around 600 million euros in Cyprus between 2014 and 2020, largely to stabilise the financial sector. While its mandate in Cyprus ended in 2020, the institution continues to manage its remaining portfolio in the country.

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