National Bank of Greece (NBG) to sell 100% stake in Turkish Finansbank

According to market sources National Bank of Greece (NBG) is planning to sell 100% of its stake in Turkish bank ‘Finansbank’. The same sources says the goal is to sell the shares of the Turkish bank at least double its ‘book value’, which corresponds to 3.8bln Euros. The pending ‘stress tests’ on the Greek banking system lead the management of the Greek bank to reevaluate its business plan. The previous board of NBG already planned on dumping 40% of its Turkish subsidiary that essentially meant Finansbank shares were rendered inactive. In light of the upcoming recapitalization, the NBG board of directors has decided to assign the process of selling off Finansbank shares to Morgan Stanley and Goldman Sachs. Within this framework binding bids for the 100% shares of Finansbank are expected to be submitted on October 9. Pundits says it will not be ab easy task, as international markets are in a volatile phase given the turmoil in emerging market currencies and the increased geopolitical risks Turkey faces.