INVESTOR WATCH UC

The strategic rationale for UniCredit, aside from enlarging its balance sheet, was to acquire, via HVB, control of Bank Austria which had built strong positions across Eastern Europe. At a single stroke, UniCredit aimed to achieve a top banking presence in Croatia, Bulgaria, Poland and Bosnia with considerable assets also in Turkey, Slovakia, the Czech Republic and Romania. These markets were destined to expand much faster than those of long-standing members of the EU... In 2006, Unicredit announced a substantial restructuring of HVB and Bank Austria that essentially aimed at taking away the key value creating asset from both entities. While HVB lost Bank Austria, the jewel in its crown, to UniCredit, Bank Austria lost Bank BPH S.A. (BPH), the Polish bank its phenomenal equity story had been based upon against compensation the payment of which had been deferred for more than three years. The purchase price for HVB's 77.5% stake in Bank Austria was set at 12.5 billion while Bank..

Registration numbers: 24862 (W)

Primary location: Berlin