A Maltese government agency, the National Development and Social Fund, on March 16 agreed to acquire a 49.01% stake in Lombard Bank Malta Plc from Cyprus Popular Bank Public Co. Ltd.
The deal is subject to approval by the Malta Financial Services Authority, the Central Bank of Cyprus and other relevant confirmations.
The board of governors of the Maltese fund noted that it does not intend to increase its stake in Lombard Bank Malta, nor exert any influence on the bank's operations. The group added the deal will not lead to a change in control of Lombard Bank Malta, and it will seek to reduce its shareholding in the bank at the right market conditions.
Cyprus Popular Bank is a defunct lender now controlled by Bank of Cyprus Public Co. Ltd. Just over 45% of Lombard Bank is publicly traded, according to S&P Global Market Intelligence data.