Alpha Bank denies reports of negotiations to acquire stake in Bank of Cyprus

Alpha Services and Holdings S.A. (Alpha Holdings) has denied recent media reports claiming that the company is in negotiations to acquire a stake in the Bank of Cyprus Holdings Public Limited Company from existing shareholders.

In a statement issued on Friday, Alpha Holdings clarified that “within the framework of implementing its announced strategic plan, it is monitoring the market to evaluate investment opportunities and is informing the investing public in accordance with the applicable legislation”.

This is in reference to a report released on Thursday by Bloomberg, which claimed that two major investors in the Bank of Cyprus are considering selling their stakes.

Bloomberg reported that AB CarVal Investors and Caius Capital, who hold a combined 15 per cent, are working with an adviser to gauge interest from potential buyers, including Greece’s Alpha Bank SA.

Their stakes are valued at approximately £233 million, Bloomberg said, based on Thursday’s closing price in London.

“Any buyer of the two investors’ shares could use a transaction as a first step to amassing a larger holding and eventually making an offer for the rest of the bank’s shares,” Bloomberg said, citing sources.

“Deliberations are at an early stage and may not lead to any transaction,” the sources added.