Italy’s UniCredit will sell its remaining 20% stake in Turkey’s Yapi Kredi Bank by end-March 2022. UniCredit will sell 18% of its stake to Turkey’s Koc Holding for €300mn ($347mn) while the remaining 2% will be sold in the open market. As per Reuters, UniCredit said that the transaction will have a low-mid single digit positive impact on its “best quality capital”, a measure of financial strength. Koc Holding and UniCredit in 2019 had agreed to unwind the joint venture through which they controlled Yapi Kredi jointly with a near 82% overall stake. “The deal is coherent with the group’s strategy of exiting areas with low capital returns, high earnings volatility and no active control,” BofA analyst Alberto Cordara said.
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