ABOUT TELENOR NEWS NEWS AND PRESS RELEASES TELENOR SERBIA IS ENTERING MOBILE FINANCIAL SECTOR THROUGH THE ACQUISITION OF KBC BANKA
Telenor Serbia is entering mobile financial sector through the acquisition of KBC Banka
Belgrade, April 26, 2013 - Telenor Serbia has reached an agreement with KBC on the acquisition of KBC Banka. Under the agreement, Telenor will purchase 100% of shares in KBC Banka, while Societe Generale banka will acquire KBC Banka’s portfolio of 81.000 Individual, Small Business and SME customers.
Telenor Serbia is committed to introducing advanced mobile financial services to customers in Serbia. Purchasing KBC Banka is a crucial step in this process and this investment will contribute to support economic growth in Serbia and bring attractive mobile financial services to the market.
This agreement met the KBC Group decision with the European commision from 2009 to exit the Serbian market.
“Among 3 potential strategic options, we decided to acquire a bank, as this is a solution that best fits our strategy and enables the fastest go-to market approach. We strongly believe that mobile financial services will bring new attractive banking solutions to citizens of Serbia and we want to take an active role in this process. Once we open the new Telenor bank, we will offer innovative mobile banking services, hassle free, available anytime and from anywhere and with European quality standards. This transaction still needs to be approved by National bank of Serbia and Commission for Protection of Competition, but we expect to receive positive answers in the next few months”, stated Ove Fredheim, CEO of Telenor Serbia.
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In the transaction period, KBC will ensure the necessary staff levels are maintained to provide service and support to KBC Banka’s customers during the transition process.
Once the transaction is closed and Telenor Serbia becomes the new owner of KBC Banka, Telenor will create new ways of doing business that will support its strategic ambitions in mobile financial services.
“Due to the KBC decision to exit the Serbian market, with this agreement we will secure jobs for a number of KBC employees. When we officially become the owner of KBC Banka, we will have a fair appointment process based on competencies and future business needs. We will conduct the reorganization, through natural turnover, redeployment and voluntary redundancy“, said Ove Fredheim.