The European Bank for Reconstruction and Development (EBRD) has slashed its equity stake in Romanian lender Banca Transilvania by 2.9%.

The bank sold 104.5 million shares of Banca Transilvania’s share capital, through a private placement led by the investment firm Wood & Company.

Even after the latest stake sale, the EBRD remains Banca Transilvania’s largest shareholder, with an 8.6% stake.

EBRD acquired a 15% stake in the Romanian lender in 2001 and since then Banca Transilvania has grown into the third-largest bank by assets in Romania.

EBRD director for EU banks Lucyna Stanczak-Wuczynska said: “The bank’s robust and adaptable business model, its proven ability to face headwinds with speed, openness and transparency, and its committed and highly experienced management make Banca Transilvania a strong, resilient and experienced lender.”

“As a continuing shareholder, the EBRD remains confident of Banca Transilvania’s future prospects. By reducing our stake we are helping to increase the liquidity of Banca Transilvania shares on the Bucharest Stock Exchange, while we continue to support the bank’s long-term growth strategy,” she added.