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Alpha Bank Cyprus will acquire the entire operations of Astrobank, excluding €15 million in non-performing loans, in a deal set to be signed Friday, June 20. The full merger is expected by the end of 2025, potentially as early as mid-fourth quarter.
According to an article by Kathimerini's Panagiotis Rougkalas, the acquisition, valued at €200 million, will create Cyprus’ third-largest bank with about a 10% market share, behind Bank of Cyprus and Eurobank Limited. Alpha Bank’s loan portfolio will increase by 60% to €1.9 billion, while deposits will rise 70% to €5.8 billion.
Alpha Bank projects the merger will double its profitability in Cyprus, with annual net profits reaching €100 million. The combined bank will focus on retail, business services, wealth management, and affluent banking, leveraging Astrobank’s SME loan portfolio.
Alpha Bank Cyprus reported net profits of €57.9 million in 2024, down from €64 million in 2023, with total assets reaching €4 billion. Non-performing exposures fell significantly to 1.7% of total loans. The bank’s capital ratios remain strong, with a CET1 ratio of 20.8%.
Separately, UniCredit increased its stake in Alpha Bank to approximately 20% by acquiring an additional 9.7% in May.
