The Polish insurer PZU and development fund PFR have started due diligence on UniCredit’s unit Pekao SA and expect to reach a deal to buy a combined stake of 33 percent in the lender this month, the information agency Reuters said.
„Pekao’s supervisory board decided to let PZU and PFR start due diligence. It will last 2-3 weeks. It is expected that the deal will be reached in November,” Reuters informed.
„The starting point for the negotiations is 126 zlotys ($31.77) per share. PZU would buy 20 percent, while PFR would get another 13 percent of Pekao,” the agency added. At that price, a 33 percent stake in Pekao would be worth 2.55 billion euros. By 1141 GMT shares in Pekao had lost 0.5 percent at 120.25 zlotys.
UniCredit said earlier it was discussing the sale of Pekao with PZU and PFR, adding, however, that there was no certainty talks would lead to a deal.
As we informed, UniCredit’s new chief executive Jean-Pierre Mustier is looking to sell a number of assets including its remaining stake in Pekao in an attempt to strengthen the Italian bank’s balance sheet and improve its profitability.
According to Reuters, the transaction would be conducted in stages as the bidders wanted to avoid having to launch a public tender to buy more Pekao shares. Under Polish law, if they bought the 33 percent stake in one go they would be required to launch a mandatory offer on the additional 33 percent holding.
