Deutsche Bank AG is working on a sale of its Polish operations as part of its drive to exit noncore businesses, "market sources" told Reuters in a May 31 report.
Teaser documents have been sent and the bank is collecting nonbinding offers, one source told the newswire.
One source said the likeliest scenario for a sale of the Deutsche Bank Polska SA unit is a piecemeal approach that would see various portfolios off-loaded separately, such as consumer loans, loans to small and medium-sized businesses and mortgages denominated in Polish zlotys. Deutsche Bank would have to retain mortgages denominated in Swiss francs, as required by the country's regulator of investors looking to exit the country, Reuters noted.
One source said the sale could value Deutsche Bank Polska at 1.7 billion zlotys to 1.8 billion zlotys, while another said the unit's assets were worth more than €400 million. The sources added that potential bidders included Commerzbank AG, parent of mBank SA; Banco Santander SA, which owns Bank Zachodni WBK SA; and Millennium BCP unit Bank Millennium SA.
As of May 30, US$1 was equivalent to 3.74 Polish zlotys and €1 was equivalent to 4.18 Polish zlotys.