Kinstellar has advised Nova Ljubljanska banka d.d. (“NLB”) in connection with the conclusion of a share purchase agreement with the Republic of Serbia for the acquisition of an 83.23% ordinary shareholding in Komercijalna Banka a.d. Beograd (“KB”), which will result in the third largest bank in Serbia.  The closing of the transaction is expected in Q4 2020 and is subject to mandatory regulatory approvals from, amongst others, the European Central Bank, Bank of Slovenia, and the National Bank of Serbia.

NLB is the main entity of NLB Group, the largest banking and financial group in Slovenia, with a strategic focus on selected markets in SEE. NLB is a public company, with its shares listed on the Ljubljana Stock Exchange and its GDRs listed on the London Stock Exchange. It has a diversified shareholder base with the largest shareholder being the Republic of Slovenia with 25% plus one share ownership.

KB, founded in 1970 and transformed into a joint stock company in 1992, is listed on the Belgrade Stock Exchange. KB offers retail and corporate banking services in Serbia, Bosnia and Herzegovina, and Montenegro. The transaction will increase KB’s market share by total assets to 12.1%.

As the largest of our core foreign markets, strengthening our presence in Serbia has been a key strategic priority for the group,” said NLB CEO, Blaž Brodnjak.

NLB further noted: “We are proud of our advisors that supported us in this project.

The Kinstellar team was led by Denise R Hamer, Head of C/SEE Asset Solutions, and Branislav Marić, Managing Partner of Belgrade, joined by colleagues Selma Mujezinović, Partner, Petar Grozdanović, Counsel, Dragana Bajić, Managing Associate, and Senior Associates Tijana Arsenijević, Andreja Vražalić, Nikola Stojiljković, and Associates Ksenija Sorajić Baković, Milan Radonić and Jelena Tripkovic.

NLB was also advised by UBS Investment Bank, as financial advisor, and by PricewaterhouseCoopers, as accounting advisor.