Eurobank has announced its agreement to increase its stake in Hellenic Bank to 93.47% following the acquisition of shares from Demetra Holdings Plc and Logicom Services Limited.

According to a press release, Eurobank will purchase 24.66% of Hellenic Bank (101,794,409 shares) for a total of €493 million, equating to €4.843 per share. The deal includes acquiring 88,064,705 shares (21.33%) from Demetra for €426 million and 13,729,704 shares (3.33%) from Logicom for €66 million.

The transaction, which is subject to regulatory approvals and the approval of Demetra's General Assembly, is expected to close no earlier than February 8, 2025. Until then, Demetra and Logicom will retain full legal and beneficial ownership of the shares.

The price agreed upon with the Cyprus Union of Bank Employees (ETYK) and other related entities will also be adjusted to €4.843 per share.

Currently holding 55.962% of Hellenic Bank, Eurobank’s total stake will reach 93.47% upon completion of these transactions. Subsequently, under the provisions of the Cyprus Takeover Bids Law of 2007, Eurobank will initiate a mandatory tender offer for the remaining shares at the same price. If Eurobank secures over 90% of the issued share capital, it will exercise its squeeze-out rights under Article 36 of the law, delisting Hellenic Bank from the Cyprus Stock Exchange.

In a related transaction, Eurobank agreed to sell 8.58% of Demetra shares (17,152,353 shares) to Logicom for approximately €27 million (€1.55 per share). This agreement is also subject to regulatory approval.

As a result of these developments, the Cyprus Stock Exchange has suspended trading of Demetra and Logicom shares for November 22 to protect investor interests.