Bank Pekao SA closed the transaction to purchase a 51% stake in Pioneer Pekao Investment Management from its former parent UniCredit SpA in a €138 million deal.
Following completion of the transaction, Pekao owns 100% shares of the asset manager and also became an indirect owner of a 100% stake in Pioneer Pekao Towarzystwo Funduszy Inwestycyjnych, the Polish lender said Dec. 11.
Pekao also carried out the revaluation of a 49% stake held in Pioneer Pekao Investment Management prior to completion of the transaction, which will have a positive impact of around 400 million Polish zlotys on the lender's 2017 financial result at the group level. The impact of the acquisition on the stand-alone profit of the bank is neutral.
The purchase of Pioneer Pekao Investment Management shares will also result in a reduction in Pekao's common equity Tier 1 ratio by 0.4 percentage point at the consolidated level, after the revaluation profit is allocated into its own funds, the lender noted.
As of Dec. 11, US$1 was equivalent to 3.57 Polish zlotys.
