Unicredit sells its entire stake in the Turkish bank Building and Credit Bank. This was announced by the Italian institute in a note, specifying that 18% of the capital will be sold to Koç Holding, a historical ally in Turkey, for 300 million euros, while 2% will be sold on the market. The completion of the transaction is expected in the first quarter of 2022.
In terms of capital, "it is expected that the transaction, based on the data as at 30 September 2021, will have a total a moderate positive impact on the consolidated CET1 ratio of Unicredit”, reads the note.
For the 2021 financial year, the operation will produce “a negative impact on the consolidated income statement of around 1,6 billion euros (based on the values at the third quarter of 2021), deriving mainly from the exchange rate fluctuation reserve relating to the investment in YKB, which does not generate impacts on CET1 as it is already recognized", concludes the note.
