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Minister says no plans for KBL - BIL merger
Economics

Minister says no plans for KBL - BIL merger

26.05.2015 From our online archive
Luxembourg's government has said it plans to sell its stake in BIL but says it is not aware of any immediate plans for the bank to merge with KBL.

Luxembourg's government has said it plans to sell its stake in BIL but says it is not aware of any immediate plans for the bank to merge with KBL.

Responding to a parliamentary question, Finance Minister Pierre Gramegna said: “According to the most recent information available to the state, the question of a merger between the two entities is not a reality.”

Luxembourg owns a 10 percent stake in BIL, which Gramegna said it intends to sell once “conditions are deemed favourable”.

Qatari investor Precision Capital has a 89.9 percent stake in BIL and holds a 99.9 percent stake in KBL, which could lead to eventual closer working relations, giving rise to speculation of a merger.

The minister went on to say that the government will continue its partnership with the banks, in which it has invested interest.

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