REUTERS wrote, quoting NBG representatives, that "no further negotiations with GONGBAO would be pursued".

Greece's National Bank (NBG) had ended the negotiations with Shanghai-based GONGBAO Group on the sale of a majority stake in its insurance unit ETHNIKI, as reported by the international media.

REUTERS wrote, quoting NBG representatives, that "no further negotiations with GONGBAO would be pursued".

GONGBAO was the only bidder in the final stage of binding financial offers for the buyout of a 75% stake in Greece's leading insurer.

In a statement issued through a PR agency in Athens, GONGBAO said the NBG had unilaterally halted negotiations. "We reserve our rights to pursue legal action," the GONGBAO news release said, quoted by REUTERS.

At the same time, NBG officials pointed out that "the sale procedure did not go through because the NBG was asking for required information regarding the money GONGBAO had offered but this never came to the NBG."

ETHNIKI's sale is part of a larger restructuring plan approved by Greece's second largest lender by assets with regulators, to exit non-banking operations.

ETHNIKI Insurance is Greece's largest insurance company, with presence also in Romania, Bulgaria and Cyprus.

In June 2017, the National Bank of Greece's board approved the sale of 75% stake in ETHNIKI Insurance to the American-Dutch consortium CALAMOS-EXIN after bidding about EUR 718 million.

Other bidders were the Chinese conglomerate FOSUN and Shanghai-based GONGBAO.

The NBG declared the tender barren after the sale of ETHNIKI to CALAMOS-EXIN failed because by the end of March 2018, the purchase amount of EUR 718 million had not been paid.

Follow XPRIMM Publications on LinkedIn, for more data on the insurance and financial industry.

Share |

Related articles

ON THE MOVE

MetLife named its EMEA head as CEO of Japan unit

MetLife announced that Eric CLURFAIN, currently Executive Vice President and Head of EMEA, has been named Chairman, President and CEO of MetLife Japan - the company's second largest market globally and its largest retail life insurance business, effective Feb. 1, 2019, following approvals.

06.12.2018

American International Group appoints new CFO

American International Group announced that it has appointed Mark LYONS to the role of Executive Vice President & Chief Financial Officer (CFO). He succeeds Sid SANKARAN, who will remain at AIG in an advisory capacity through the year-end reporting process for fiscal year 2018.

06.12.2018

Wolfgang STOCKMEYER appointed as VIG's BTA Baltic new Board Chairman

Wolfgang STOCKMEYER (49) has been appointed, on 30 November 2018, Chairman of the VIG's subsidiary BTA Baltic Management Board, as part of a series of changes in the composition of its Management Board operated by the main player of Austrian Group in the Baltic region.

05.12.2018

TOP EVENT

Reducing the risks in agriculture by using insurance means, discussed in Skopje

On November 1st, an Agricultural insurance conference took place in Skopje, Macedonia, organized by the Insurance Supervision Agency in cooperation with the Ministry of Agriculture, Forestry and Water Economy. Drawing attention to the necessity of reducing the risks in agriculture by using insurance was the event's main purpose.

06.11.2018

IIF 2018 - Insurance in a DIGITAL WORLD

Emmanuel DJENGUE, Innovation Director, Europe - RGAX, Spain is the Keynote Speaker at IIF 2018 - Insurance in a DIGITAL WORLD Conference in Bucharest, on November 27.

05.11.2018

See all