Emirates NBD Bank PJSC is looking to submit its bid for PAO Sberbank of Russia's Turkish unit, DenizBank AS, in March, "people with knowledge of the matter" told Bloomberg News.
However, the people said Sberbank could take several months before deciding whether to sell the unit, according to the Feb. 19 report. A few days earlier, Reuters reported that Sberbank CEO Herman Gref said the lender had already received an offer for DenizBank but did not name the entity.
Emirates NBD and DenizBank declined to comment, Bloomberg said, but in late January, the Emirati bank said it was in preliminary discussions with the Russian lender for a possible deal but noted that "there is no certainty that any transaction will be entered into."
A deal for 99.9% of DenizBank could amount to as much as $4.12 billion, according to Bloomberg's calculations. DenizBank had a book value of $3.4 billion as of 2017-end, the newswire added, noting that Turkish lenders trade at an average of 1.2x book value.
Sberbank acquired DenizBank from failed Franco-Belgian lender Dexia SA in 2012.