Austria’s government-owned Hypo Alpe-Adria-Bank International has been split between a wind-down unit named Heta Asset Resolution, and its southeastern European network of banks.
The move is part of the bank’s restructuring plan which has been approved by the European Commission, reports the Wall Street Journal.
Go deeper with GlobalData
As part of the plan, the government will have to sell off all of the bank’s assets or transfer them into a wind-down unit by the middle of next year.
The southeastern European network of the lender, which comprises six banking units across five countries and includes assets worth nearly 8.4bn, has already been transferred to SEE Holding.
Alexander Picker, the bank’s chief executive, and fellow board member Rainer Sichert have stepped down from their posts and will move to SEE Holding.
The rest of the assets of the bank have been transferred to Heta Asset Resolution to be wound down, though Heta Asset Resolution does not have a banking license yet, and a chief executive is yet to be selected for the new company.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataAs of now, the remaining board members of Hypo Alpe-Adria, Johannes Proksch and Rainer Jakubowski, will form the executive board of the new company.
Hypo Alpe-Adria had earlier announced plans to sell SEE Holdingto a consortium between the private-equity firm Advent International and the EBRD, which is subject to regulatory approval.
