Burgan in $355m deal for Eurobank’s Turkish arm

EFG Eurobank will sell its Turkish arm to Kuwait’s Burgan Bank, in a $355 million deal, which will help shore up the struggling Greek lender’s capital base. Burgan, the commercial banking arm of Kuwait Projects Co (Kipco), will also absorb $280 million of loans issued by EFG to the Turkish unit as part of the deal, it said in a bourse filing on Monday. “The bank has signed deal with EFG Eurobank to buy 99.26 percent stake in Turkish lender Eurobank Tekfen for 99 million Kuwaiti dinars,” Burgan said in the filing. Sources said last week that the sale was imminent and that Burgan was likely to offer Eurobank Tekfen’s book value of $350 million.