Latvia's AS Citadele banka agreed to acquire the Baltic leasing operations of Italy's UniCredit SpA.

Terms of the transaction were not disclosed. The deal will see Citadele acquire 100% of SIA UniCredit Leasing and its wholly owned unit SIA UniCredit Insurance Broker, as well as their branches in Estonia and Lithuania.

The transaction would make Citadele banka one of the three largest players in the country's leasing market, it said Dec. 11. The deal is expected to be completed in the first quarter of 2020, subject to mandatory approvals.

Citadele noted that its aggregate net leasing loans will exceed €1.1 billion as a result of the acquisition, which will significantly boost its presence in the Baltics.