Victoriabank, a subsidiary of Romania’s Banca Transilvania Monetary Group and the third-largest financial institution in Moldova, introduced in a press launch on April 11 that it has signed an settlement to amass Microinvest, the biggest non-bank microfinance establishment within the Republic of Moldova.
Banca Transilvania introduced plans to take over Microinvest in early 2020, however the pandemic put its plans on ice for 5 years. The acquisition is a part of Banca Transilvania Group’s technique to strengthen its presence in neighbouring Moldova and to export its Romanian microfinance experience throughout borders, reinforcing its position as a key monetary participant within the area.
Microcredit’s belongings had been MDL5.4bn (over €270mn ) and MDL4.75bn portfolio of loans as of the tip of 2023, when the non-bank monetary establishment’s internet revenue was MDL340mn.
Microinvest is majority managed (57.61%) by Dutch-registered Balkan Monetary Sector Fairness Fund (BFSE Holding BV), with vital shareholders Fundatia Soros Moldova (Moldova, 25.65%) and Oikocredit Ecumenical Improvement Cooperative Society (The Netherlands, 13.45%).
The signing of the takeover settlement occurred in Chișinău, marking a strategic step in BT Group’s regional enlargement and its second main operation in Moldova. Victoriabank, managed by a consortium shaped by Banca Transilvania and the EBRD, has not too long ago accomplished the takeover of BCR Chișinău, a subsidiary of Banca Comerciala Romana (BCR).
The brand new acquisition will permit Victoriabank, at present the third-largest financial institution in Moldova, to considerably diversify its portfolio and shopper base by integrating Microinvest’s robust place within the microfinance sector.
Microinvest serves roughly 40,000 purchasers, together with each people and small companies, throughout 17 branches and employs 350 workers. Its providers span SME financing, agricultural loans and private lending.
“Microfinancing is a particular area of interest of the Banca Transilvania Monetary Group, developed by BT Mic, BT Direct and Banca Transilvania. We need to replicate within the Republic of Moldova the success we’ve got in Romania each in supporting purchasers by microfinancing and within the discipline of procurement,” stated Bogdan Pleșuvesc, deputy common supervisor of Banca Transilvania.
The transaction stays topic to approval by regulatory and supervisory authorities in Romania and Moldova. Till clearance is granted, Microinvest will proceed to function independently.
Authorized and monetary due diligence for the transaction was supported by Romanian and Moldovan advisers together with Filip & Firm, Vernon | David and Associates and PwC.
