Bulgarian Central Bank Approves OTP's Purchase of SocGen's Local Business

Bulgaria's central bank has given Hungary's OTP Bank the green light to buy Societe Generale's Bulgarian businesses, the central bank said in a statement on Wednesday, reports Reuters. 

OTP's Bulgarian unit DSK Bank will incorporate Societe Generale Expressbank AD's market share of about 6.7 percent, with the cumulative 19 percent making it a contender for the top spot in the country's banking market.

DSK, which has been profitable since OTP took it over in 2003, is Bulgaria's second largest lender.

Societe Generale is selling businesses that either lack critical size or potential for synergies, opening the way for growth-hungry and well-capitalised OTP to expand in markets it considers core to its growth strategy.