Athens, 25 October 2019- Karatzas & Partners advised Piraeus Bank in a pioneer and complex transaction contemplating a long-term strategic partnership between Piraeus Bank and Intrum: the establishment of a market leading credit management servicer in Greece. On Wednesday, October 23rd 2019, the strategic agreement was concluded. 

The new servicer company, established on September 16th 2019 through the contribution in kind of the relevant business unit of Piraeus Bank, is 80% owned by Intrum, with Piraeus Bank retaining a 20% equity stake. The new servicer is licensed and regulated by the Bank of Greece. It will service the Piraeus Bank’s existing Non Performing Exposures (“NPE”) and Real Estate Owned Assets (“REO”) portfolio, together with any new inflows, on an exclusive basis, and will be able to manage also other NPE and REO portfolios in the Greek market. Assets and proceeds of the serviced portfolio remain on the balance sheet of the Bank. 

The transaction was concluded after receiving the required approvals from the relevant regulatory authorities, including the Bank of Greece, as well as the Hellenic Financial Stability Fund.