Alior Bank negotiating Meritum Bank takeover

WSE-listed Alior Bank is in talks to buy Meritum Bank from private equity group Innova Capital and Euripean Bank for Reconstruction and Development, Alior wrote in a market filing. The deal would be a cash and equity deal, and Alior would have to issue up to 2,335 million new shares worth PLN 10 apiece. “It is the intention of bank management to realize the transactions using a new share issue and funds from issuance of subordindated bonds, whose terms and transaction means were included in the bank's offer,” management said. Meritum’s total assets are worth some PLN 3.15 billion, while Alior’s assets (as of 2013) were worth some PLN 25.5 billion. Alior hopes to finish the negotiations before its next EGM scheduled for October 22.